Question 1

Which of the following is a strategy that a marketing manager is most likely to use in the market growth stage?

Accepted Answer

A) building brand familiarity 
B) penetration pricing to develop customer loyalty 
C) moving toward intensive distribution 
D) price slashing 
E) developing new ways to use the product 
A) building brand familiarity 
B) penetration pricing to develop customer loyalty 
C) moving toward intensive distribution 
D) price slashing 
E) developing new ways to use the product A

Question 2

Which of the following observations concerning the market maturity stage is FALSE?

Accepted Answer

A) Many aggressive competitors have entered the race for profits. 
B) There is a long-run downward pressure on prices. 
C) New firms cannot enter the market at this stage. 
D) Promotion costs rise and some competitors cut prices to attract business. 
E) Persuasive promotion becomes more important during this stage. 
A) Many aggressive competitors have entered the race for profits. 
B) There is a long-run downward pressure on prices. 
C) New firms cannot enter the market at this stage. 
D) Promotion costs rise and some competitors cut prices to attract business. 
E) Persuasive promotion becomes more important during this stage. C

Question 3

Due to the success of artificial intelligence,the collection of data for the purposes of quality improvement has become obsolete.

Accepted Answer

A) True 
 B)False  False

Question 4

Regarding new-product development,market tests

Accepted Answer

A) are used mostly for durable products,because of their high production costs and risks. 
B) seek customer reactions to ideas,not actual products. 
C) should test the product and specific marketing mix variables. 
D) are not very costly but take a long time to complete. 
E) None of these answers is correct. 
A) are used mostly for durable products,because of their high production costs and risks. 
B) seek customer reactions to ideas,not actual products. 
C) should test the product and specific marketing mix variables. 
D) are not very costly but take a long time to complete. 
E) None of these answers is correct.

Question 5

If the prospects in a product-market are poor,a firm may need a "phase out" strategy.

Accepted Answer

A) True 
 B)False

Question 6

At which stage of the product life cycle are DVD players today?

Accepted Answer

A) stagnation 
B) market introduction 
C) sales decline 
D) market maturity 
E) market growth 
A) stagnation 
B) market introduction 
C) sales decline 
D) market maturity 
E) market growth

Question 7

The job of product or brand manager is often created when a firm wants to

Accepted Answer

A) handle many different kinds of products or brands. 
B) eliminate the job of the research and development department. 
C) eliminate the job of sales manager. 
D) do away with product "champions." 
E) None of these answers is correct. 
A) handle many different kinds of products or brands. 
B) eliminate the job of the research and development department. 
C) eliminate the job of sales manager. 
D) do away with product "champions." 
E) None of these answers is correct.

Question 8

Regarding product life-cycle planning,good marketing managers know that

Accepted Answer

A) a "me-too" new brand may be immediately introduced during market growth or market maturity. 
B) every brand must go through the sales decline stage. 
C) market introduction is usually profitable for the innovator. 
D) any change in an existing product results in a new product life cycle. 
E) All these answers are correct. 
A) a "me-too" new brand may be immediately introduced during market growth or market maturity. 
B) every brand must go through the sales decline stage. 
C) market introduction is usually profitable for the innovator. 
D) any change in an existing product results in a new product life cycle. 
E) All these answers are correct.

Question 9

Use this information for questions that refer to the Wire Products Inc.(WPI)case. Rob Rose sat back to review the portfolio of products his company,Wire Products Inc.(WPI),has in its product line.The company specializes in making various products for consumer and industrial uses from hard laminated wire that is coated with special paints.
1)WPI's Wire Closet products have been on the market for 10 years.Consumers install the wire shelves and closet rods themselves.The market leader,Closetmaid,has been selling similar products for more than 20 years,but so far the sales volume and profits for the market have continued to grow.Recently,several new competitors have come into the market.
2)Three months ago,WPI entered the lawn and garden market with folding fences made with laminated wire and branded as Wire Fold-Fence.Previously,WPI had never made fences or been a player in the lawn and garden market-although other companies have been making products in this market for years.However,Rob Rose has discovered that recent sales of wire garden fencing have leveled off and profits are declining overall.Still,WPI thinks it has some cost advantages and can grow its own sales and profits in this market.
3)WPI has just developed Oil Wire,a new concept for the environmental cleanup market.Oil Wire is coated with a special material that cleans up oil spills.There has never been a product like this and WPI wants to quickly get the word out about its benefits.The product is now being rolled out in selective markets.
4)Another business product is Wire Locker,used for secure storage by gymnasiums or companies.This style of locker has now gone out of fashion,and most customers are finding better materials to use for lockers.Aggressive selling has helped Wire Locker's sales stay flat,but the total market for wire-style lockers is only half what it was 10 years ago.
5)WPI's Wire Window product is used as a security product to protect glass windows.It sells to homeowners and retailers looking for additional safety.WPI's sales of this product have dropped in recent years because competitors have introduced maintenance-free products.However,the overall market for this type of product continues to show good growth.
6)WPI is running concept tests of a new wire car-top carrier called Wire Car Top.There are other car-top carrier products on the market,but WPI plans to include options in its carrier that will make it easier to load bikes,skis,and suitcases.Wire Car Top is also very easy to put on and take off of the car because of its light weight and ease-of-use features.The concept tests are helping WPI analysts develop rough estimates of costs,sales,and profits.
7)Another new-product idea,tentatively called Wire Tent,is being considered.It would use laminated wires to create a portable tent frame.This product is currently being evaluated to determine its fit with the company's objectives and external market trends.
Rob is thinking about the product life cycle,where each product fits,and what he should be doing as part of his marketing plan for each of these products.
In which stage of the product life cycle is Wire Locker?

Accepted Answer

A) market introduction 
B) sales decline 
C) market development 
D) market growth 
E) market maturity 
A) market introduction 
B) sales decline 
C) market development 
D) market growth 
E) market maturity

Question 10

Which of the following is true with regard to how a new product is defined?

Accepted Answer

A) A product should be considered "new" if it is new in any way for the company concerned. 
B) The FTC would not call an existing product new,even if it were changed in a functionally significant way. 
C) There is no legal limit on how long a product can be called "new." 
D) A new product must be totally different before it can be called a "new product." 
E) All these answers are correct. 
A) A product should be considered "new" if it is new in any way for the company concerned. 
B) The FTC would not call an existing product new,even if it were changed in a functionally significant way. 
C) There is no legal limit on how long a product can be called "new." 
D) A new product must be totally different before it can be called a "new product." 
E) All these answers are correct.

Question 11

Which of the following statements about the product life cycle is true?

Accepted Answer

A) Profits and sales begin to decline in the maturity stage. 
B) Individual products may enter and leave the market at any stage. 
C) A successful introduction almost guarantees that the product will remain a success over the life cycle. 
D) Phasing out a dying product is not a strategy. 
E) None of these answers is correct. 
A) Profits and sales begin to decline in the maturity stage. 
B) Individual products may enter and leave the market at any stage. 
C) A successful introduction almost guarantees that the product will remain a success over the life cycle. 
D) Phasing out a dying product is not a strategy. 
E) None of these answers is correct.

Question 12

Regarding product life cycles,a good marketing manager knows that

Accepted Answer

A) entirely different target markets may be involved at different stages. 
B) a product that doesn't get beyond the introduction stage is still likely to be very profitable. 
C) industry profits are increasing well after sales start to decline. 
D) once a market goes into sales decline,oligopoly conditions set in. 
E) All these answers are correct. 
A) entirely different target markets may be involved at different stages. 
B) a product that doesn't get beyond the introduction stage is still likely to be very profitable. 
C) industry profits are increasing well after sales start to decline. 
D) once a market goes into sales decline,oligopoly conditions set in. 
E) All these answers are correct.

Question 13

Building quality into services can be

Accepted Answer

A) accomplished easily by spending more. 
B) accomplished without top-level support because it is such a simple idea. 
C) considered unnecessary unless the service is guaranteed. 
D) accomplished easily with surprise quality inspections. 
E) improved by giving employees the authority to correct a problem on their own. 
A) accomplished easily by spending more. 
B) accomplished without top-level support because it is such a simple idea. 
C) considered unnecessary unless the service is guaranteed. 
D) accomplished easily with surprise quality inspections. 
E) improved by giving employees the authority to correct a problem on their own.

Question 14

Use this information for questions that refer to the Wire Products Inc.(WPI)case. Rob Rose sat back to review the portfolio of products his company,Wire Products Inc.(WPI),has in its product line.The company specializes in making various products for consumer and industrial uses from hard laminated wire that is coated with special paints.
1)WPI's Wire Closet products have been on the market for 10 years.Consumers install the wire shelves and closet rods themselves.The market leader,Closetmaid,has been selling similar products for more than 20 years,but so far the sales volume and profits for the market have continued to grow.Recently,several new competitors have come into the market.
2)Three months ago,WPI entered the lawn and garden market with folding fences made with laminated wire and branded as Wire Fold-Fence.Previously,WPI had never made fences or been a player in the lawn and garden market-although other companies have been making products in this market for years.However,Rob Rose has discovered that recent sales of wire garden fencing have leveled off and profits are declining overall.Still,WPI thinks it has some cost advantages and can grow its own sales and profits in this market.
3)WPI has just developed Oil Wire,a new concept for the environmental cleanup market.Oil Wire is coated with a special material that cleans up oil spills.There has never been a product like this and WPI wants to quickly get the word out about its benefits.The product is now being rolled out in selective markets.
4)Another business product is Wire Locker,used for secure storage by gymnasiums or companies.This style of locker has now gone out of fashion,and most customers are finding better materials to use for lockers.Aggressive selling has helped Wire Locker's sales stay flat,but the total market for wire-style lockers is only half what it was 10 years ago.
5)WPI's Wire Window product is used as a security product to protect glass windows.It sells to homeowners and retailers looking for additional safety.WPI's sales of this product have dropped in recent years because competitors have introduced maintenance-free products.However,the overall market for this type of product continues to show good growth.
6)WPI is running concept tests of a new wire car-top carrier called Wire Car Top.There are other car-top carrier products on the market,but WPI plans to include options in its carrier that will make it easier to load bikes,skis,and suitcases.Wire Car Top is also very easy to put on and take off of the car because of its light weight and ease-of-use features.The concept tests are helping WPI analysts develop rough estimates of costs,sales,and profits.
7)Another new-product idea,tentatively called Wire Tent,is being considered.It would use laminated wires to create a portable tent frame.This product is currently being evaluated to determine its fit with the company's objectives and external market trends.
Rob is thinking about the product life cycle,where each product fits,and what he should be doing as part of his marketing plan for each of these products.
In which step of the new-product development process is the Wire Tent?

Accepted Answer

A) screening 
B) development 
C) idea evaluation 
D) idea generation 
E) commercialization 
A) screening 
B) development 
C) idea evaluation 
D) idea generation 
E) commercialization

Question 15

During the market growth stage of the product life cycle,industry profits usually reach their peak and begin to decline.

Accepted Answer

A) True 
 B)False

Question 16

PepsiCo is evaluating an idea for a new "clear cola" by using focus groups made up of young adults to suggest brand names for the proposed product.This is an example of

Accepted Answer

A) empowerment. 
B) concept testing. 
C) market testing. 
D) TQM. 
E) EDI. 
A) empowerment. 
B) concept testing. 
C) market testing. 
D) TQM. 
E) EDI.

Question 17

The market introduction stage of the product life cycle is usually marked by losses,as money is being invested in the hope of future profits.

Accepted Answer

A) True 
 B)False

Question 18

The sales and profits of an individual brand always follow the life-cycle pattern.

Accepted Answer

A) True 
 B)False

Question 19

A marketing manager might use the total quality management approach to

Accepted Answer

A) reduce defects in goods produced in factories. 
B) train better salespeople. 
C) improve customer service. 
D) make delivery schedules more reliable. 
E) All these answers are correct. 
A) reduce defects in goods produced in factories. 
B) train better salespeople. 
C) improve customer service. 
D) make delivery schedules more reliable. 
E) All these answers are correct.

Question 20

Acme Corporation is currently experiencing rising sales for a new-product idea it pioneered several months ago.Profits are also increasing,so other competitors are now entering the market with similar products.The competitive situation is changing from monopoly to monopolistic competition.In which stage of the product life cycle is Acme Corporation operating?

Accepted Answer

A) market establishment 
B) market introduction 
C) market growth 
D) market maturity 
E) sales decline 
A) market establishment 
B) market introduction 
C) market growth 
D) market maturity 
E) sales decline

Which of the following is a strategy that a marketing manager is most likely to use in the market growth stage?

Which of the following observations concerning the market maturity stage is FALSE?

Due to the success of artificial intelligence,the collection of data for the purposes of quality improvement has become obsolete.

Regarding new-product development,market tests

If the prospects in a product-market are poor,a firm may need a "phase out" strategy.

At which stage of the product life cycle are DVD players today?

The job of product or brand manager is often created when a firm wants to

Regarding product life-cycle planning,good marketing managers know that

Which of the following is true with regard to how a new product is defined?

Which of the following statements about the product life cycle is true?

Regarding product life cycles,a good marketing manager knows that

Building quality into services can be

During the market growth stage of the product life cycle,industry profits usually reach their peak and begin to decline.

PepsiCo is evaluating an idea for a new "clear cola" by using focus groups made up of young adults to suggest brand names for the proposed product.This is an example of

The market introduction stage of the product life cycle is usually marked by losses,as money is being invested in the hope of future profits.

The sales and profits of an individual brand always follow the life-cycle pattern.

A marketing manager might use the total quality management approach to

Marketings Value to Consumers, Firms, and Society

Marketing Strategy Planning

Evaluating Opportunities in the Changing Market Environment

Focusing Marketing Strategy With Segmentation and Positioning

Final Consumers and Their Buying Behavior

Business and Organizational Customers and Their Buying Behavior

Improving Decisions With Marketing Information

Elements of Product Planning for Goods and Services

Place and Development of Channel Systems

Distribution Customer Service and Logistics

Retailers, Wholesalers, and Their Strategy Planning

Promotionintroduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising and Sales Promotion

Publicity: Promotion Using Earned Media, Owned Media, and Social Media

Pricing Objectives and Policies

Price Setting in the Business World

Ethical Marketing in a Consumer-Oriented World: Appraisal and Challenges

Filters

Exam 9: Product Management and New-Product Development

Which of the following is a strategy that a marketing manager is most likely to use in the market growth stage?

Which of the following observations concerning the market maturity stage is FALSE?

Due to the success of artificial intelligence,the collection of data for the purposes of quality improvement has become obsolete.

Regarding new-product development,market tests

If the prospects in a product-market are poor,a firm may need a "phase out" strategy.

At which stage of the product life cycle are DVD players today?

The job of product or brand manager is often created when a firm wants to

Regarding product life-cycle planning,good marketing managers know that

Which of the following is true with regard to how a new product is defined?

Which of the following statements about the product life cycle is true?

Regarding product life cycles,a good marketing manager knows that

Building quality into services can be

During the market growth stage of the product life cycle,industry profits usually reach their peak and begin to decline.

PepsiCo is evaluating an idea for a new "clear cola" by using focus groups made up of young adults to suggest brand names for the proposed product.This is an example of

The market introduction stage of the product life cycle is usually marked by losses,as money is being invested in the hope of future profits.

The sales and profits of an individual brand always follow the life-cycle pattern.

A marketing manager might use the total quality management approach to

Marketings Value to Consumers, Firms, and Society

Marketing Strategy Planning

Evaluating Opportunities in the Changing Market Environment

Focusing Marketing Strategy With Segmentation and Positioning

Final Consumers and Their Buying Behavior

Business and Organizational Customers and Their Buying Behavior

Improving Decisions With Marketing Information

Elements of Product Planning for Goods and Services

Place and Development of Channel Systems

Distribution Customer Service and Logistics

Retailers, Wholesalers, and Their Strategy Planning

Promotionintroduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising and Sales Promotion

Publicity: Promotion Using Earned Media, Owned Media, and Social Media

Pricing Objectives and Policies

Price Setting in the Business World

Ethical Marketing in a Consumer-Oriented World: Appraisal and Challenges

Filters