Exam 8: Elements of Product Planning for Goods and Services

VoiceSys, Inc. produces voice-mail switchboard systems used in large office buildings, hotels, and other facilities. VoiceSys's products are selling so well that it has decided to buy new equipment that will increase its production capacity. This example best illustrates

Individual products:

If a firm offers a service guarantee, it

Professional services are usually expense items which support the operation of a firm.

The Nutrition Labeling and Education Act of 1990 requires food manufacturers to _______________________________________________________.

______________ are capital items that cost less and are shorter-lived than installations.

A warranty must be available for inspection before a purchase is made.

Which of the following is NOT a business raw material?

The definition of quality focuses on the producer.

The Magnuson-Moss Act:

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

Nonrecognition of the brand name of a firm's product is likely to be LEAST important for:

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

Use this information for question that refer to the Sunny Day Foods (SDF) Case. For six months Kim Wu has been working for Sunny Day Foods (SDF), a fast-growing manufacturer of organic foods. After graduating college, she worked for four years as a sales rep for a nationally known food company. But, she jumped at the chance when SDF contacted her about becoming marketing manager for its breakfast foods division, which sells dry cereals and a pancake mix. Kim spent the first few months on the job trying to better understand SDF, its product line, and marketing strategy. She reviewed the company's past marketing research, commissioned new research, and talked to both consumers and retailers. Now, the CEO of the company wants her thoughts on what the company's marketing strategy should be for the next few years. Her research indicates that among cereal customers there are at least five segments of customers who use SDF products. A. One segment, the loyalists, has a strong preference for one or two of the SDF cereals. These customers often go out of their way to visit a store with their favorite SDF cereal and buy only that product at the store. B. Another segment, the regulars, buys SDF cereals without much thought. For them it is just part of their routine and, if you ask them why they pick the cereal, they'd say it's just a habit. C. A third segment, the deal prone, sees SDF cereals as just another organic cereal. They view all organic cereals as pretty much the same and buy whichever brand seems to offer the best deal that week. D. A fourth segment, the politicos, consists of former buyers of SDF cereals. A few years ago the company took a strong stand in a presidential race - and these customers resented it. Now, they boycott all SDF foods because of that incident. E. A fifth segment, SDF who?, is made up of consumers who buy organic cereals but who don't have much awareness of particular organic brand names. In reviewing how SDF currently brands its products, Kim sees that it is using several different approaches. The Sunny Day Foods brand is used on most products the company sells. But a few years ago the company brought out an instant organic oatmeal with the Hot 'n Healthy name. SDF also makes cereal sold by a health food chain; the package for that chain uses the store's own name, Nature's Foods, as the brand name for the cereal. What best describes the level of brand familiarity that customers in "the deal prone" segment have with SDF?

Beth Sahadi usually buys Sassoon shampoo because she likes its smell. But this morning her local drugstore was out of Sassoon, so she decided to buy another highly advertised brand that was on sale because she really needed to wash her hair that night. For Beth, Sassoon has probably achieved brand:

The "Product" area is concerned with what goods and services are produced, but not with decisions about installation, instructions on use, packaging, a brand name, a warranty, or after-sale service.

Bonafide Electric produces electric motors that power refrigerators, air condition units, washing machines, and many other electric appliances produced by various manufacturers. Bonafide Electric is selling

Sears uses a(n) _______________ brand when it uses the same brand name for several products. In contrast, General Motors, by using different brands for each car line, uses ______________ brands.

The big difference between the consumer products market and the business products market is

The text's consumer product classes are based on: