Deck 9: The Brand

Question 1

A(n) ________ is a system in which products and services flow from businesses to consumers while payment flows from consumers to businesses.

A) marketplace
B) brand valuation
C) brand strategy
D) channel
E) category

Answer 1

D

Question 2

In a(n) ________, a business cuts prices to take sales from competitors.

A) equity competition
B) share of wallet battle
C) price war
D) channel switch
E) brand stretch

Answer 2

C

Question 3

The primary methods of brand valuation are ________ and ________.

A) additive; inclusive
B) intellectual; emotional
C) stretching; contracting
D) elastic; inelastic
E) bundling; separating

Answer 3

A

Question 4

Brand ________ is the power of a brand, through creation of a distinct image, to influence customer behavior.

A) equity
B) attitude
C) valuation
D) knowledge
E) positioning

Question 5

Brand equity reflects the value ________ attach to the promise of the brand.

A) competitors
B) marketers
C) consumers
D) partners
E) managers

Question 6

Customer loyalty, commitment, and equity are all factors that can build ________.

A) brand equity
B) brand positioning
C) brand alliances
D) brand personality
E) brand knowledge

Question 7

Of the types of brand loyalty, which one leads to a higher relative price?

A) attitudinal
B) behavioral
C) purchase
D) category
E) consumption

Question 8

Of the types of brand loyalty, which one leads to a greater market share?

A) attitudinal
B) behavioral
C) purchase
D) category
E) consumption

Question 9

Which of the following statements about brand equity is NOT true?

A) Strong brand equity means a brand has customer loyalty.
B) Brand equity refers to the brand's value to an organization.
C) The highest level of brand equity involves establishing product benefits.
D) Brand equity gives a firm the power to capture and hold onto a larger share of the market and to sell at prices with higher profit margins.
E) Brand equity can provide a competitive advantage.

Question 10

Brand ________ is the extent to which a consumer repeatedly purchases a given brand.

A) equity
B) knowledge
C) valuation
D) loyalty
E) sourcing

Question 11

The total financial benefit that results from owning a brand is quantified through the process of brand ________.

A) differentiation
B) valuation
C) extension
D) positioning
E) equity

Question 12

According to your textbook, the initial layer of a brand represents ________.

A) values
B) benefits
C) attitudes
D) tangible features
E) intangible features

Question 13

Brand ________ is the set of associations that consumers hold in memory regarding a brand's features, benefits, users, and perceived quality as a result of prior brand marketing activities.

A) equity
B) attitude
C) valuation
D) knowledge
E) positioning

Question 14

Which of the following was NOT among the top ten in Business Week's Annual Rating of the Best Global Brands for 2009?

A) Gap
B) Coca-Cola
C) Microsoft
D) IBM
E) Toyota

Question 15

Which of the following is defined as the differential effect that brand knowledge has on the customer response to marketing efforts?

A) attitudinal brand equity
B) customer-based brand equity
C) loyalty
D) brand valuation
E) brand positioning

Question 16

Businesses selling to other businesses tend to discuss ________ when presenting their product and services than business-to-consumer brands do.

A) more emotional benefits
B) more status benefits
C) more rational elements
D) more brand personality
E) less brand loyalty

Question 17

A(n) ________ is a promise to deliver specific benefits associated with products or services to consumers.

A) service
B) brand
C) license
D) patent
E) alliance

Question 18

Brand ________ answers the question "What should my brand stand for?"

A) personality
B) positioning
C) alliance
D) knowledge
E) architecture

Question 19

Which of the following is the most basic level on which marketers can position their brands in consumers' minds?

A) interactive marketing
B) values
C) product attributes
D) benefits
E) added service

Question 20

Of the following, a company would be most likely to rely on ________ to lower its costs and focus its resources on core competencies.

A) brand stretching
B) price wars
C) bundling
D) brand valuation
E) outsourcing

Question 21

The strongest brands go beyond attributes or benefit positioning; they are positioned on ________.

A) desirable benefits
B) service attributes
C) status
D) values
E) customer image

Question 22

________ occurs when two or more established brand names collaborate on the marketing of one specific product.

A) A brand extension
B) Brand equity
C) Co-branding
D) A line extension
E) Cannibalization

Question 23

Which of the following is NOT a desirable quality for a brand name?

A) It should suggest something about the product or service.
B) It should be memorable and distinctive.
C) The brand should almost always be a long word to get attention.
D) The name should export smoothly to foreign markets.
E) Its name should qualify for protection as intellectual property.

Question 24

For a fee, some companies ________ names or symbols previously created by other manufacturers, characters from popular movies and books, or works of art, any of which can provide brand equity.

A) service
B) market
C) extend
D) brand
E) license

Question 25

Another name for a reseller's brand is a ________.

A) national brand
B) private label brand
C) generic brand
D) manufacturer brand
E) licensed brand

Question 26

Which brand positioning level is most likely to create a relationship with a customer that engenders brand loyalty, commitment, and strong consumer equity?

A) benefits
B) service attributes
C) status
D) values
E) personality

Question 27

________ is the process through which the market offering is positioned in the consumer's mind to produce a perception of advantage.

A) Brand knowledge
B) Brand equity
C) Brand alliance
D) Brand categorization
E) Brand strategy

Question 28

An increasing number of retailers have created their own ________, almost completely replacing non-branded products.

A) approach products
B) private label brands
C) avoidance products
D) service goods
E) specialty products

Question 29

Which of the following should a company LEAST expect as a benefit resulting from co-branding?

A) Product development and research costs are avoided.
B) Loyalty from each brand is extended to the co-branded product.
C) Shortcomings of one brand are compensated for by strengths of the other brand.
D) Promotion costs are split between partners.
E) New market opportunities are created.

Question 30

In the competition between ________ and ________ brands, retailers have the advantages of controlling what products will be stocked, where products will be stocked, and what prices will be charged.

A) national; manufacturer
B) store; private label
C) manufacturer; private label
D) store; licensed
E) private label; distributor

Question 31

Which of the following is NOT one of the four strategic options involved in the development of brands?

A) multibrand offerings
B) brand protection
C) a line extension
D) a brand extension
E) new brands

Question 32

________ involves the naming and organizing of brands within a broader portfolio.

A) Brand valuation
B) Brand equity
C) Brand personality
D) Brand architecture
E) Brand alliance

Question 33

Which of the following is most important in defining the brand architecture that a company uses to guide brand development?

A) line extension strategy
B) brand strategy
C) brand positioning
D) brand protection
E) brand knowledge

Question 34

Which of the following is a relationship, short of a merger, that is formed by two or more businesses to create market opportunities that would not have otherwise existed?

A) a line extension
B) bundling
C) a brand strategy
D) a brand alliance
E) a portfolio

Question 35

Private label brands have almost completely replaced ________.

A) approach products
B) national brands
C) avoidance products
D) generic products
E) specialty products

Question 36

By definition, a company with a ________ owns multiple brands.

A) brand line
B) channel
C) portfolio of brands
D) brand position
E) brand alliance

Question 37

________ is used when a company introduces a new item under an existing brand name to an established product line.

A) Line extension
B) Licensing
C) Brand extension
D) Co-branding
E) Bundling

Question 38

________ consists of characteristics that make a brand unique.

A) Brand valuation
B) Brand equity
C) Brand personality
D) Licensing
E) Intellectual property

Question 39

Which of the following would allow a company to avoid the expense of creating, developing, and maintaining a brand?

A) licensing
B) co-branding
C) multibranding
D) bundling
E) patenting

Question 40

The middle level of brand positioning is ________.

A) beliefs
B) values
C) product attributes
D) benefits
E) service

Question 41

An apparel marketer with a strong brand in the women's casual wear market is planning to launch that existing brand name into the new product category of women's accessories. Which brand development strategy is being implemented?

A) line extension
B) brand extension
C) multibranding
D) new brands
E) co-branding

Question 42

The brand manager of Wee Won, a brand of stylish infant and toddler clothes sold at upscale shops in urban and suburban settings, has experimented with increasing the price of several items in the Wee Won line. Sales of these items did not decrease with the new, higher prices. It is most accurate to say that Wee Won customers have exhibited ________.

A) purchase loyalty
B) brand alliances
C) brand stretching
D) attitudinal loyalty
E) benefits positioning

Question 43

Del Monte Foods, a large corporation that manages many family food and pet food brands, sells the Contina brand of canned tomato products to supermarkets across the country. Contina is an example of a(n) ________.

A) organizational brand
B) support brand
C) private label brand
D) reseller brand
E) manufacturer brand

Question 44

Chicken of the Sea brand tuna sells more than the same size Kroger brand tuna, even though the Kroger tuna costs $0.15 less per can. Chicken of the Sea has brand ________.

A) extension
B) equity
C) specialty
D) service
E) allies

Question 45

Which of the following government agencies is responsible for assigning rights for limited times to individuals or companies to use innovations?

A) the Federal Communications Commission
B) the United States Patent and Trademark Office
C) the United States Consumer Product Safety Commission
D) the Interstate Commerce Commission
E) the Federal Trade Commission

Question 46

A ________ involves taking an existing brand into a new category.

A) line extension
B) product line
C) brand extension
D) private brand
E) bundled brand

Question 47

Helene Curtis began to market shampoo for normal hair. In an attempt to increase profits and use excess market capacity, Helene Curtis then marketed shampoo for oily hair and color-treated hair. This is an example of a(n)________.

A) horizontal line extension
B) vertical line extension
C) vertical brand extension
D) horizontal brand extension
E) co-branding

Question 48

A company that does not want to add to the product lines in its portfolio would be most likely to select which of the following options?

A) multibranding
B) bundling
C) brand extension
D) brand stretching
E) line extension

Question 49

________ are responsible for managing multiple brands in a product line.

A) Category managers
B) Brand managers
C) Communications managers
D) Market managers
E) Sales managers

Question 50

Which of the following is the practice of marketing two or more products and/or services in a single package?

A) multibranding
B) co-branding
C) line extending
D) brand stretching
E) bundling

Question 51

Each new iPod product introduction advances the causes of democratizing technology and approachable innovation. iPod, an expert at fostering customer community, has been ranked one of the Breakaway Brands by the brand consultancy Landor Associates. iPod is positioned on ________.

A) attributes
B) benefits
C) variation
D) selection
E) values

Question 52

The Kirkland products sponsored and sold by the retailer Costco are an example of a(n) ________.

A) organizational brand
B) support brand
C) private label brand
D) sponsorship brand
E) manufacturer's brand

Question 53

A company that wants to keep its customers from switching brands would be most likely to select a ________ strategy.

A) new brand
B) line extension
C) multibranding
D) co-branding
E) licensing

Question 54

A manager of a Holiday Inn said, "We have power and value in the market and people are willing to pay for it." This manager is referring to ________.

A) brand protection
B) brand alliances
C) brand equity
D) line extensions
E) brand extensions

Question 55

________ is a collection of non-physical assets owned by an individual or company that are the result of innovation and are legally protected from being copied or used by unauthorized partners.

A) Brand valuation
B) Brand architecture
C) Brand personality
D) Intellectual property
E) Category property

Question 56

Which of the following risks is most closely associated with the strategy of brand extension?

A) brand flanking
B) counterfeiting
C) controlling the use of an image owned by the company
D) negotiating a relationship with a brand ally
E) losing focus of the core positioning of the brand

Question 57

Whenever a company introduces a new product in a portfolio, there is a risk of ________, which occurs when sales of an existing product decline as the firm's current customers switch to the new product.

A) counterfeiting
B) disintermediation
C) cannibalization
D) brand inequity
E) bundling

Question 58

Disney allowed a paint manufacturer to produce paint using the Disney brand name for a specific period of time. Disney paint is an example of ________.

A) licensing
B) bundling
C) alliance branding
D) multibranding
E) private label branding

Question 59

The red letter "K" that appears on all Kellogg's cereal boxes is an example of a ________.

A) brand valuation
B) brand license
C) trade character
D) brand
E) co-brand

Question 60

Which of the following involves varying products in a product line by price and quality?

A) vertical brand extension
B) horizontal brand extension
C) vertical line extension
D) horizontal line extension
E) bundling

Question 61

Using the more common form of brand valuation, the brand and the product are considered separately.

Question 62

The majority of the best-known brands in the United States are less than 25 years old.

Question 63

A company introduced the Funday film to compete with lower-priced brands, but it found many of its regular customers buying Funday instead of the company's usual, higher-priced film. The company experienced ________.

A) a brand contraction
B) counterfeiting
C) brand protection
D) cannibalization
E) a brand alliance

Question 64

Private label brands have traditionally dominated the brand choices available to consumers at retail stores.

Question 65

Which of the following is a potential drawback of multibranding?

A) Consumers may become confused about the image of the main brand.
B) An overextended brand name might lose its specific meaning for consumers.
C) Different product features can appeal to consumers with different buying motives.
D) The company's resources may be spread over too many brands.
E) The company can occupy more retail shelf space.

Question 66

Brands are less important in the business-to-business environment than in the business-to-consumer environment.

Question 67

Brand position refers to the location that a brand occupies in the marketplace relative to competitors.

Question 68

A consumer's values are more likely to change than his or her attitudes and beliefs.

Question 69

A customer is more likely to have an emotional connection with a brand than with a product.

Question 70

A strong brand that suspends advertising for several months will find that the majority of consumers quickly lose memory of the brand.

Question 71

Refer to the scenario below to answer the following questions.
Herb Marks built his enterprise on the faithful patronage of four specialty shops and a large contract from Elmore Distributors. But after two years, the maker of novelty pens and pencils had to rethink his strategy when his two-year contract with Elmore ended.
Herb built a company reputation on the manufacture and distribution of a variety of wooden writing utensils with customized engravings. Specialty shops loved to display the products in their fancy, lighted showcases, but such specialty shops alone were not profitable. Herb Marks established a brand name, known merely as Marks, and decided to expand on it.
Herb extended his writing utensil lines to include quills, felt-tip pens, and multiple-cartridge pens that write in different colors. He even added a line of various grades of personalized stationery and business cards. Perhaps Herb's biggest added touch, however, was the addition of two salespeople who would work to explain the diverse array of products offered by Marks, as well as nurture existing accounts.
"We make an excellent product," Herb Marks stated, "and we honor a good guarantee on everything we sell. But let's face it we face hundreds of competitors! We need Marks representatives out there to help prospects understand what they should demand in something as simple as a writing tool."
The Marks brand was fast becoming synonymous with top-notch customer service. Part of the purchase package brought personal visits from the Marks representative, before the purchase and long after.
The new personalized stationery and business cards are both examples of ________.

A) horizontal line extensions
B) vertical line extensions
C) brand extensions
D) multibrands
E) co-branding

Question 72

Cannibalization is the unauthorized copying of products, packaging, or other intellectual property of a registered brand.

Question 73

A strong brand will create an emotional connection between the business and consumers.

Question 74

Category managers today have responsibilities that tend to include those that had been traditionally handled by brand managers.

Question 75

Cannibalization is the loss of sales that is often a side effect of bundling.

Question 76

Refer to the scenario below to answer the following questions.
Herb Marks built his enterprise on the faithful patronage of four specialty shops and a large contract from Elmore Distributors. But after two years, the maker of novelty pens and pencils had to rethink his strategy when his two-year contract with Elmore ended.
Herb built a company reputation on the manufacture and distribution of a variety of wooden writing utensils with customized engravings. Specialty shops loved to display the products in their fancy, lighted showcases, but such specialty shops alone were not profitable. Herb Marks established a brand name, known merely as Marks, and decided to expand on it.
Herb extended his writing utensil lines to include quills, felt-tip pens, and multiple-cartridge pens that write in different colors. He even added a line of various grades of personalized stationery and business cards. Perhaps Herb's biggest added touch, however, was the addition of two salespeople who would work to explain the diverse array of products offered by Marks, as well as nurture existing accounts.
"We make an excellent product," Herb Marks stated, "and we honor a good guarantee on everything we sell. But let's face it we face hundreds of competitors! We need Marks representatives out there to help prospects understand what they should demand in something as simple as a writing tool."
The Marks brand was fast becoming synonymous with top-notch customer service. Part of the purchase package brought personal visits from the Marks representative, before the purchase and long after.
The wooden writing utensils with customized engraving that Herb originally manufactured and distributed were positioned on a(n) ________ level.

A) brand
B) values
C) basic
D) attributes
E) services

Question 77

Multicultural brands are different brands within a company's portfolio that are each created and managed to be relevant to a specific cultural group.

Question 78

Refer to the scenario below to answer the following questions.
Herb Marks built his enterprise on the faithful patronage of four specialty shops and a large contract from Elmore Distributors. But after two years, the maker of novelty pens and pencils had to rethink his strategy when his two-year contract with Elmore ended.
Herb built a company reputation on the manufacture and distribution of a variety of wooden writing utensils with customized engravings. Specialty shops loved to display the products in their fancy, lighted showcases, but such specialty shops alone were not profitable. Herb Marks established a brand name, known merely as Marks, and decided to expand on it.
Herb extended his writing utensil lines to include quills, felt-tip pens, and multiple-cartridge pens that write in different colors. He even added a line of various grades of personalized stationery and business cards. Perhaps Herb's biggest added touch, however, was the addition of two salespeople who would work to explain the diverse array of products offered by Marks, as well as nurture existing accounts.
"We make an excellent product," Herb Marks stated, "and we honor a good guarantee on everything we sell. But let's face it we face hundreds of competitors! We need Marks representatives out there to help prospects understand what they should demand in something as simple as a writing tool."
The Marks brand was fast becoming synonymous with top-notch customer service. Part of the purchase package brought personal visits from the Marks representative, before the purchase and long after.
The new felt-tip pens, multiple-cartridge pens, and quills are all examples of ________.

A) horizontal line extensions
B) horizontal brand extensions
C) vertical brand extensions
D) multibrands
E) co-branding

Question 79

Attributes are the least desirable level for brand positioning because competitors can easily copy attributes and customers are more interested in what attributes will do for them than in the brand itself.

Question 80

In 2009, the majority of brands ranked among the top ten of Business Week's Annual Ranking of the Best Global Brands were brands owned by American companies.