Exam 8: Elements of Product Planning for Goods and Services

For professional services which are needed only occasionally and require special skills, it is usually better for a firm to have its own employees provide them than to use outsiders.

Personal selling is important for new unsought products, but it tends not to be important for regularly unsought products.

A licensed brand can be used by only one company.

Nebula Co., a pharmaceutical manufacturing company in the U.S., enters into a contractual agreement with a firm in India to conduct clinical trials there after discovering that it is more cost effective to conduct clinical trials in India than in the U.S. In this example, Nebula Co. is:

Brand preference means customers usually choose the brand over other brands, perhaps out of habit or past experience.

Unsought products:

Which of the following is NOT one of the consumer product classes discussed in the text?

Trane Corp. manufactures long-lived, custom-made equipment which its customers treat as capital items. Trane's sales force faces much multiple-buying influence. Trane's products, which do not become part of the customer's final product, are:

Which of the following is not a product?

Goods are typically mass-produced in a factory far away from customers, while services are produced in their presence.

Fresher Foods Co. manufactures and sells a variety of dairy products under the Fresh Farm brand name. It decides to introduce a new line of organic jams and preserves under the Tru Flavor Preserves brand name. For its new line, Fresher Foods is using ______.

The main difference between installations and accessory equipment is that accessories are capital items while installations are expense items.

It is usually more difficult to provide consistent quality for goods as opposed to services.

Supplies (business products) are expense items that do not become part of a final product.

Vision Co. manufactures and sells tea, coffee, desserts, shoes, and sporting goods-all under the Vision brand name. These products are

A trademark

A specialty product

Drue Valentine is a management consultant who helps manufacturers improve their quality-control procedures for new products. Drue is selling:

Shopping products that a customer sees as different and wants to inspect for quality and suitability are heterogeneous shopping products.

Product means the need-satisfying offering of a firm.