Exam 7: Product-Selling Strategies That Add Value

The generic product is the basic,substantive product you are selling.

Today,the primary goal of the value-added concept is to add value by lowering the price of the product.

In recent years,the "fax attack" model of car shopping has become popular.In a "fax attack," a customer sends a fax to every car dealership within a certain radius listing the make and features of the car they would like,along with the price they are willing to pay,and asks dealerships that will match that price to contact the customer.In essence,the customers set both the features and the price for the car.McCall Automotive has experienced a sharp increase in the number of fax attacks,and Phil,the sales manager,is seeking methods for addressing the situation.Phil is also concerned about the dealership's positioning strategies and market share. -How could Phil best respond to a "fax attack" and differentiate McCall Automotive positively from other dealerships?

Which of the following most likely covers transportation costs incurred by channel intermediaries?

What is the most likely drawback of using too many technical terms during a sales presentation?

The authors of The Discipline of Market Leaders encourage business firms to pick one of the disciplines - best price,best product,or best ________ to distinguish their offering in the marketplace.

The goal of selling strategies for new and emerging products is to:

Satisfactions can come from:

The first step in establishing a product price is to determine the firm's pricing ________.

A grain supplier to cattle farmers has developed a new grain mixture,Green Grain,with nutritional additives that approximate the nutrient mixture in grass.Farmers who feed their cattle this enriched grain can sell beef and milk that taste similar to grass-fed beef and have many of the nutritional benefits to humans of grass-fed beef or dairy at a significantly lower production cost than actual grass-fed beef or dairy. -What would be the best way to position Green Grain relative to traditional grain?

Salespeople have assumed an important and expanding role in differentiating products.

In order to bring the Walker Hotel and Convention Center up to industry standards,each guest room was redecorated with new wallpaper,drapes,carpeting,mattresses,and sofas.Melanie Simms,sales manager for the Center,has recommended that guest rooms be upgraded with the addition of wide desks,free wi-fi,and 24-hour room service.From the viewpoint of most business travelers,these changes would result in the creation of a(n):

A potential consequence of using low-price tactics is lower profits.

A designer releases her fall line of handbags,including one that retails for $6,000.This bag is a limited edition;only 500 will be produced,and orders will only be accepted from clients who have previously purchased a handbag from the designer.Customers will be put on a waitlist in the order in which the handbag orders are received. -How is this handbag being positioned and differentiated from other handbags similar in manufacturing and look?

Which type of price discount would most likely be offered by a ski lodge during the summer months?

Product positioning is largely a function of:

For a growing number of customers,short-term savings that result from low prices are more important than long-term value.

A front desk clerk at a ReView Hotel receives a call from a ReView Gold Rewards Member guest complaining that the wireless Internet in her room is fading in and out.Without Internet access,she won't be able to make her deadline for this business trip. -Abco Realty owns several rental apartment buildings in a working class but safe neighborhood that has recently become popular with young professionals because of its proximity to an express commuter train line.Abco has recently invested in the infrastructure of the buildings,adding laundry rooms,safety features to the lobbies,and new insulated windows to all the units.Because of this,Abco cannot afford to match the unit rental prices of other buildings that have not made improvements. How should the sales manager of Abco Realty most likely differentiate Abco's units from units offered in other buildings?

In recent years,the "fax attack" model of car shopping has become popular.In a "fax attack," a customer sends a fax to every car dealership within a certain radius listing the make and features of the car they would like,along with the price they are willing to pay,and asks dealerships that will match that price to contact the customer.In essence,the customers set both the features and the price for the car.McCall Automotive has experienced a sharp increase in the number of fax attacks,and Phil,the sales manager,is seeking methods for addressing the situation.Phil is also concerned about the dealership's positioning strategies and market share. -McCall Automotive sells a large number of well-established minivans,such as the Dodge Caravan and Honda Odyssey.Now,the dealership has a new vehicle that it must position-a hybrid minivan.What will be the best strategy for positioning the new hybrid minivan?

Yellow Freight Systems must provide clean,well-maintained trucks and well-trained drivers.This is most likely an example of a(n):