Deck 12: Product and Promotion: Creating and Communicating Value

Question 1

Business products are purchased to use either directly or indirectly in a production process.

Answer 1

True

Question 2

Store brands are also called manufacturers' brands.

Answer 2

False

Question 3

In the context of branding, line extensions are similar products offered under the same brand name.

Answer 3

True

Question 4

Unsought products are expensive products that consumers purchase less frequently.

Question 5

National brands are also called private-label brands.

Question 6

Both producers and retailers tend to promote shopping products.

Question 7

In the context of business product categories, the marketing of accessory equipment focuses on personal selling and includes more customization than installations.

Question 8

In the context of consumer product categories, shopping products have less selective distribution than convenience products.

Question 9

Store brands are brands that a retailer both produces and distributes.

Question 10

Cannibalization occurs when a producer offers a new product that takes sales away from its existing products.

Question 11

Cherry Doux Bakery reaches an agreement with Candy Call to use Candy Call's original dark chocolate in its popular chocolate cookies and sell them in its stores. The two companies are using a strategy known as cobranding.

Question 12

Manufacturers rarely emphasize packaging because this aspect of the product has little relevance to a customer's decision-making process.

Question 13

The two key aspects of product quality are level and longevity.

Question 14

Dynamically continuous innovations are characterized by marked changes to existing products.

Question 15

Chromiate, a digital camera brand, decides to introduce a new MP3 player, GiZmo, under its brand name. Chromiate's decision is an example of brand extension.

Question 16

The prices of unsought products vary wildly.

Question 17

Dynamically continuous innovations are brand-new ideas that radically change how people live.

Question 18

Shopping products are the inexpensive goods and services that consumers buy frequently with limited consideration and analysis.

Question 19

Pure services are products that do not include any goods.

Question 20

In the context of business products, the marketing tactics of maintenance products emphasize efficiency.

Question 21

In the context of product layers, which of the following exemplifies an actual product?

A) A jacket for protection in chilly, windy climatic conditions
B) The raw materials that are used in manufacturing a bar of chocolate
C) The level of cathartic gratification that a video game provides to its user
D) The educational qualifications and experience of a surgeon

Question 22

A product has three product layers. They are:

A) implied benefit, explicit benefit, and combined benefit.
B) physical form, intangible form, and perceived form.
C) core benefit, actual product, and augmented product.
D) transient layer, overt benefit, and virtual product.

Question 23

The idea screening stage of the new product development process involves the formal process of soliciting feedback from consumers by trying out the product concept.

Question 24

The goal of continuous innovation is to distinguish a product from the competition.

Question 25

Product augmentation:

A) calls for greater purchase power at the consumer end.
B) results in the dilution of the actual goods.
C) damages the reputation of the company.
D) sharpens the competitive edge of the marketer's products.

Question 26

Which of the following statements is true of augmented products?

A) They are established goods that are modified to suit a particular consumer taste.
B) They are subsidiary products that come at a discounted cost with the main product.
C) They are additional goods or services that are attached to the main purchase or actual good.
D) They are products that are expensive and require some deliberation before purchase.

Question 27

Emma owns a bakery in Michigan. To save time, she buys ready-made edible cake decorations from a vendor in Wisconsin. This scenario exemplifies the purchase of a _____.

A) credence good
B) composite good
C) business product
D) consumer product

Question 28

EatOut is a food joint that serves pizza, while GlowBelle is a luxury beauty salon that sells cosmetics. What do EatOut and Glow Belle have in common?

A) They provide pure services.
B) Their products are examples of unsought products.
C) They offer pure goods.
D) Their products are a mix of goods and services.

Question 29

Perizaad orders a pair of spectacles from an online store. On delivery, she receives a 50 ml bottle of lens cleaning solution along with the spectacles. In this scenario, the bottle of lens cleaning solution is a(n) _____.

A) core product
B) cross product
C) customized product
D) augmented product

Question 30

Rosy's Sweet Treats is a food truck that sells waffles. In this scenario, which of the following is true of Rosy's Sweet Treats?

A) The business deals in pure services.
B) The kind of product offered by the business is an example of shopping products.
C) The kind of product offered by the business is an example of specialty products.
D) The business is a mix of goods and services.

Question 31

Competitive advertising is a key marketing strategy of the maturity phase of a product life cycle.

Question 32

Donton Inc., a public relations firm, buys doughnuts for an office party. In this case, Donton has purchased a _____.

A) credence good
B) composite good
C) business product
D) consumer product

Question 33

Plezion Movie Palace, a film theater in Germany, gives all its customers miniatures of the main character of the latest superhero film that is being exhibited. The miniature props given by Plezion Movie Palace to its customers are examples of _____.

A) core products
B) augmented products
C) cross products
D) virtual products

Question 34

The product life cycle can be dramatically different across individual products and product categories, and predicting the exact shape and length of the life cycle is impossible.

Question 35

An example of a pure good is:

A) a bed and breakfast inn.
B) a dual-colored reversible jacket.
C) an online grocery store.
D) a haircut at a premium salon.

Question 36

Which of the following statements is true of a goods and services spectrum?

A) It exhibits different situations where services outweigh goods.
B) It lets the marketer estimate the prices that should be associated with goods and services.
C) It highlights similarities between goods and services.
D) It provides a tool for analyzing the relationship between goods and services.

Question 37

An example of a pure service is:

A) a car service center that sells automobile parts.
B) a watch that also acts as an altimeter and a compass.
C) an accountant providing financial consultation to a firm.
D) a delivery truck delivering pizzas to customers.

Question 38

The physical good or delivered service that provides a core benefit is called the _____.

A) virtual product
B) actual product
C) secondary product
D) augmented product

Question 39

Christopher works overtime for a project in his office. On his day off, he goes to watch a comedy movie to ease the stress. Christopher finds the movie entertaining, and it helps him relax. In the context of product layers, entertainment, in this scenario, represents the _____ of the movie.

A) implied benefit
B) explicit benefit
C) combined benefit
D) core benefit

Question 40

Product diffusion happens at different speeds, depending on the individual consumer and on the product itself.

Question 41

Fit & Flare, an online shopping portal, orders a few pieces of furniture for its head office. A representative from the furniture company comes for the delivery and even oversees its setting up around the office space. In this scenario, Fit & Flare's order for furniture is categorized as a purchase of:

A) the maintenance, repair, and operating products.
B) installations.
C) component parts and processed materials.
D) accessory equipment.

Question 42

Glinda goes to the supermarket for her monthly grocery shopping. As she waits in the line at the cash register, she sees her favorite kiwi-flavored candies on a stand and puts some into her shopping cart. In the context of product classifications, the candies purchased by Glinda are _____.

A) convenience products
B) unsought products
C) shopping products
D) specialty products

Question 43

Joel wants to buy his best friend a home audio system for his birthday. He visits a few electronic stores and looks at different brands of audio systems and compares their prices. He finally purchases a wireless Bluetooth home audio system from a store that offers good quality within a reasonable price. In the context of product classifications, Joel's purchase falls under the category of _____.

A) convenience products
B) unsought products
C) shopping products
D) specialty products

Question 44

Which of the following statements is true of convenience products?

A) Their distribution is highly selective.
B) Their promotion is done by their producers.
C) They include cars, computers, and cell phone service.
D) They are expensive goods that hold little interest for consumers.

Question 45

In the context of business products, _____ consist of small-ticket items that businesses consume on an ongoing basis but do not become part of the final product.

A) maintenance products
B) processed materials
C) unsought products
D) accessory equipment

Question 46

In the context of consumer product categories, most people perceive _____ as being so important that they are unwilling to accept substitutes.

A) installations
B) convenience products
C) accessory equipment
D) specialty products

Question 47

Jessica, a business tycoon, always buys her jewelry from a retailer. She has been a loyal customer, and she does not trust other brands. This scenario exemplifies the purchase of _____.

A) convenience products
B) unsought products
C) shopping products
D) specialty products

Question 48

Dominic is the owner of Della Robotics, a business that deals in industrial robots that are mostly sold to the manufacturing industry. The strong point of Dominic's business is that he personally contacts his buyers and takes part in the negotiation process. Moreover, his company customizes the robots. In this scenario, the product manufactured by Della Robotics falls under the category of _____.

A) the maintenance, repair, and operating products
B) installations
C) component parts and processed materials
D) accessories

Question 49

Which of the following statements is true of shopping products?

A) They have widespread distribution.
B) They include natural products used in producing other products.
C) They are promoted solely by producers.
D) They are inexpensive products that consumers buy frequently.

Question 50

In the context of business product categories, marketing of raw materials primarily emphasizes:

A) price and service.
B) quantity and brand.
C) customization.
D) product differentiation.

Question 51

In the context of business product categories, accessory equipment is designed for a shorter productive life than _____.

A) raw materials
B) maintenance products
C) repair and operating products
D) installations

Question 52

In the context of business product categories, _____ include the farm and natural products used in producing other products.

A) accessory equipment
B) raw materials
C) specialty products
D) unsought products

Question 53

In the context of business product categories, the marketing of component parts and processed materials emphasizes:

A) personal selling and efficiency.
B) quantity and brand.
C) product shelf life, customization, and quantity.
D) product quality, price, and service.

Question 54

In the context of business product categories, _____ include finished products used in producing other products.

A) specialty products
B) installations
C) component parts
D) accessory equipment

Question 55

Aubosh, a car manufacturing company, is in a contract with Bolivin Tires. Under this contract, Aubosh purchases tires from Bolivin Tires for all its mid-range cars. In this scenario, Aubosh buys _____ from Bolivin Tires.

A) the maintenance, repair, and operating products
B) installations
C) component parts and processed materials
D) accessory equipment

Question 56

In the context of consumer product categories, both producers and retailers are apt to promote _____ but to a highly targeted audience.

A) installations
B) convenience products
C) accessory equipment
D) specialty products

Question 57

Which of the following is a consumer product category that has highly selective distribution?

A) Raw materials
B) Convenience products
C) Accessory equipment
D) Specialty products

Question 58

HealthAssure Corp. manufactures Nicoloss, a nicotine-free supplement that helps people overcome their cigarette addiction. To promote its product, the company puts up kiosks inside a college campus. However, the product gets only a mild response from the students. Consequently, the company resorts to more active and aggressive promotional activities. In this scenario, Nicoloss is an example of a(n) _____.

A) convenience product
B) unsought product
C) shopping product
D) specialty product

Question 59

In the context of business product categories, the marketing of _____ emphasizes personal selling and customization.

A) convenience products
B) installations
C) unsought products
D) legal consulting services

Question 60

Which of the following business product categories refer to large capital purchases made by a company that are designed for a long productive life?

A) Convenience products
B) Installations
C) Unsought products
D) Accessories

Question 61

Zollien, a manufacturer of men's shirts and jackets, has reached an agreement with Arbrada Inc. According to the agreement, Zollien will pay Arbrada a substantial fee for the right to use Arbrada's name and logo on some of its clothing lines. This type of arrangement is known as:

A) licensing.
B) cannibalization.
C) line extension.
D) acquisition.

Question 62

Operos, a laptop manufacturing company, introduces three new colors-midnight blue, aquamarine, and hot pink-in its Z Series laptops. This scenario reflects _____.

A) market segmentation
B) product bundling
C) brand extension
D) line extension

Question 63

In the context of product differentiation and planning, the term _____ refers to the advantage that a consumer gains from specific product features.

A) brand equity
B) brand extension
C) customer benefit
D) product consistency

Question 64

In the context of business product categories, the marketing of business services:

A) focuses on quality and relationships.
B) emphasizes productivity.
C) focuses on providing emergency products.
D) emphasizes standardization.

Question 65

The characteristics of a product that a marketer offers are known as _____.

A) product facets
B) product features
C) product qualities
D) product visions

Question 66

Nexi10, a brand of cell phones, has a marketing strategy that focuses on its cell phones' features such as battery power and processing speed. According to a survey conducted by the company, the consumers are more than satisfied with the features. This scenario reflects that Nexi10 has a good _____.

A) accuracy level
B) brand valuation
C) quality level
D) brand equity

Question 67

Which of the following statements is true of licensing?

A) The core brand is partially responsible for financially supporting the company seeking the license.
B) It involves a payment of fee to the core brand.
C) All the benefits of a licensed product go to the core brand, and the core brand enjoys limited liability.
D) The core brand takes on negligible risks in the licensing agreement.

Question 68

Wanderboy, a company that manufactures travel bags and luggage, promises high-quality products to its customers in terms of durability, comfort, and performance. The company also ensures that it delivers on it. This scenario demonstrates that the company succeeds at delivering _____.

A) product consistency
B) brand equity
C) brand valuation
D) product mix

Question 69

For successful product differentiation, _____.

A) the difference between a product and its competitor products should be large rather than small
B) marketers should put most of their efforts into developing an appropriate brand name
C) a product should not only be different from its competitor products but also be better
D) a product should have a higher cost than its competitor products

Question 70

LiteChoice produces six different flavors of sugar-free cookies for the diabetic population. The company also produces a large assortment of sugar-free chocolates targeted at the same population. The two kinds of products-the sugar-free cookies and chocolates-that LiteChoice produces represent the _____ of the company.

A) product chain
B) marketing mix
C) brand equity
D) product mix

Question 71

Saffexo, a company that manufactures sports goods, hikes the prices of its entire range of athletic shoes. However, the company does not experience a fall in the sales of its shoes following the hike as the consumers continue to buy them. The information given in the scenario indicates that Saffexo has a good _____.

A) brand valuation
B) product consistency
C) brand equity
D) product mix

Question 72

A fast-food restaurant serves the student community within a university campus. The restaurant newly introduces pocket-friendly combo meals in its menu. The meals become so popular that the rest of the items on the menu are rarely ordered. Which of the following is being exemplified in this scenario?

A) Segmentation
B) Cannibalization
C) Market penetration
D) Product bundling

Question 73

Blue Legion, a well-known jeans manufacturer, is the main sponsor for a rock concert. Although the tickets to the concert are exorbitantly priced, the public feels that since the concert is being sponsored by a company like Blue Legion, it must be worth it. The scenario illustrates that Blue Legion has a good _____.

A) brand valuation
B) product consistency
C) brand equity
D) product mix

Question 74

Streetlore, a footwear manufacturing company, makes business and casual shoes for both men and women. The company also makes school bags for children between the ages of five to ten years. The entire line of goods made by Streetlore represents the _____ of the company.

A) product chain
B) marketing mix
C) supply chain
D) product mix

Question 75

Bolve, a company that essentially made leather bags and jackets, introduces men's cologne under its new category of skincare products. In this case, Bolve is engaged in _____.

A) market segmentation
B) product bundling
C) brand extension
D) line extension

Question 76

A home décor company manufactures a range of bedding products such as bedspreads, pillows, and mattresses. The range of bedding products represents the _____ of the company.

A) commodity chain
B) supply chain
C) product mix
D) product line

Question 77

Which of the following is most likely to take place when a company launches a new product that is lower in price than the current products of the company?

A) Cannibalization
B) Market penetration
C) Augmentation
D) Market segmentation

Question 78

_____ refers to how well a product performs its core function.

A) Product line
B) Quality level
C) Perishability level
D) Licensing

Question 79

Which of the following identifies how reliably a product delivers its promised level of quality?

A) The primary features of the product
B) The augmented benefit that the product offers
C) The life cycle of the product
D) The product consistency

Question 80

Zetovi Corp. is a multinational communications and information technology company. It manufactures smartphones and other cell phone accessories. The company launched a range of tablets in the market, and it becomes an instant hit. The company then experiences a drastic decline in the sales of its smartphones as a large section of its customer base shifts to tablets. Which of the following concepts is being illustrated in this scenario?

A) Segmentation
B) Cannibalization
C) Market penetration
D) Product bundling