Deck 6: Product and Brand Strategy

Question 1

Products that are purchased by business firms for the purpose of producing other goods or services for running a business are called _____.

A) convenience goods
B) organizational goods
C) specialty goods
D) shopping goods

Answer 1

B
Explanation:Organizational goods are products purchased by business firms for the purpose of producing other goods or for running the business.

Question 2

Which of the following is the best example of a shopping good?

A) A home security system
B) A bottle of Snapple pink lemonade
C) A pair of fingernail clippers
D) A truckload of bricks

Answer 2

A
Explanation:Shopping goods, such as appliances, are products that are purchased after some time and energy are spent comparing the various offerings.

Question 3

Which of the following statements regarding organizational goods is true?

A) Organizational goods are usually purchased as an end in themselves.
B) The channels of distribution for these goods are longer than those for consumer goods.
C) Organizational goods include anything that businesses need for their day-to-day operation.
D) The primary purchasing motive for organizational goods is convenience even if the prices being paid are steep.

Answer 3

C
Explanation:Organizational goods are products purchased by business firms for the purpose of producing other goods or for running the business.

Question 4

The tangible product along with the whole cluster of services that accompany it is called a(n)_____.

A) extended product
B) improvised product
C) new product
D) physical product

Question 5

What is marketing myopia?

A) Defining a product solely in terms of the tangible product and its features
B) Defining a product in terms of the essential benefits the buyer expects to receive from it
C) Defining a product in terms of the integrated marketing systems approach
D) Defining a product in terms of its expected success in the market

Question 6

Which of the following observations about a product is correct?

A) The essential benefits that the buyer expects to receive from a product constitute the tangible product.
B) A particular product can be viewed as a tangible, extended, or generic product.
C) The generic product is defined as the tangible product along with all the services that accompany it.
D) The extended product is defined as the physical entity or service that is sold by the firm.

Question 7

Pritchard's fine rum is the only rum that is actually distilled in the southeastern part of the United States.Cruzan and Myers,both made in the Caribbean,are its main competitors.Pritchard's fine rum has a more bourbon-like flavor than other brands of rum,which tend to taste more like cognac.In terms of the classification of consumer goods,the distiller of Pritchard's fine rum would want its rum to be categorized as a(n)_____.

A) specialty good
B) organizational good
C) shopping good
D) convenience good

Question 8

Which of the following is a basic assumption underlying product classification schemes?

A) Each product is unique and should be marketed differently.
B) The same marketing strategy can be used for all product types.
C) Products with common attributes can be marketed in a similar fashion.
D) Products should be differentiated on the basis of profit margins rather than product features.

Question 9

Which of the following is the best example of a specialty good?

A) A pair of school shoes
B) A fax machine
C) A diamond necklace
D) A pack of peanut butter crackers

Question 10

Which of the following statements about agricultural goods is true?

A) They have high value per unit.
B) They are fairly homogeneous.
C) They are sold in single units.
D) They include basic machinery.

Question 11

Which of the following products would be classified as an organizational good?

A) An electric generator purchased to use in the event of a power outage at home
B) Large amounts of fabric purchased by homeowner to have curtains and upholstery made
C) Equipment brought by a man to remove a tree lying across his driveway
D) Timber purchased by the owner of a furniture store to make chairs

Question 12

Major and minor equipment such as basic machinery,tools,and other processing facilities are classified as _____.

A) specialty goods
B) organizational goods
C) semifinished goods
D) agricultural goods

Question 13

Shannon Cruz is very particular about the kind of blue jeans she wears.She refuses to buy anything other than Levi 505's and goes to great lengths to find that particular fit if her local store does not have it.This scenario is an example of Levi 505s being a(n)_____.

A) convenience good
B) intermediate good
C) intangible good
D) specialty good

Question 14

Which of the following observations is true?

A) Generic products are known as commodities or unbranded goods.
B) A generic product is defined as the tangible product along with the whole cluster of services that accompany it.
C) An extended product is only the physical entity or service that is offered to the buyer.
D) Executives who are guilty of "marketing myopia" define their company's product too narrowly.

Question 15

A product that is viewed in terms of providing the essential benefits that the buyer expects to receive from it is referred to as a(n)_____.

A) tangible product
B) generic product
C) intangible product
D) physical product

Question 16

The physical entity that is offered to the buyer is defined as a(n)_____.

A) extended product
B) value-added product
C) tangible product
D) generic product

Question 17

Many personal care products bring to the purchaser feelings of self-enhancement and security in addition to the essential benefits they offer.This is an illustration of a(n)_____.

A) physical product
B) generic product
C) tangible product
D) conventional product

Question 18

Convenience goods,shopping goods,and specialty goods are the three classes of _____.

A) agricultural goods
B) raw materials
C) organizational goods
D) consumer goods

Question 19

Goods grown or extracted from the land or sea,such as iron ore,wheat,and sand are better known as _____.

A) agricultural products and raw materials
B) consumer goods
C) convenience goods
D) specialty goods and intermediate products

Question 20

Lumber,coal,and iron ore are examples of _____.

A) consumer goods
B) convenience goods
C) raw materials
D) specialty goods

Question 21

Which of the following statements about a vertical market is true?

A) It is a market that consists solely of buyers of agricultural goods.
B) It is a type of consumer goods market.
C) It consists of products that are purchased by many different industries.
D) It is narrow because customers are restricted to a few industries.

Question 22

The demand for organizational goods is a(n)_____.

A) end-user demand
B) direct demand
C) derived demand
D) low-value demand

Question 23

What is the legal term for a brand?

A) Generic mark
B) Emblem
C) Trademark
D) Watermark

Question 24

Which of the following observations about branding is true?

A) The legal term for brands is logos.
B) The nutritional label is the single most important element on the package, serving as a unique identifier.
C) Brand building activities are limited and ineffective by nature.
D) A good brand name can evoke feelings of trust, confidence, security, and strength.

Question 25

The full set of products offered for sale by an organization is defined as a firm's ____.

A) product features
B) product mix
C) product equity
D) product line

Question 26

Which of the following is defined as the degree of excellence or superiority that an organization's product possesses?

A) Quality
B) Width
C) Depth
D) Reach

Question 27

As Alan strolled through a shopping center,he tried to relate his lessons in a marketing class to his observations at the mall.Which of Alan's interpretations do you believe to be most accurate?

A) The Tie Shop, which only sells ties, would have a wide product mix.
B) The Dollar Tree, which sells everything from baby rattles and potting soil to contact lens cleaning solution, would have a narrow product mix and a deep assortment.
C) The Christian Superstore, which sells hundreds of self-help books, novels, and music with a religious theme, has a narrow and deep product mix.
D) Louie's Bakery, which sells thirty-six different kinds of muffins, would have a deep product mix.

Question 28

Value refers to the:

A) tangible aspects of a firm's products or services.
B) physical traits such as serviceability and reliability of a product.
C) full set of physical products offered for sale by the organization.
D) returns the customer gets in exchange for what the customer pays.

Question 29

Which of the following best describes a horizontal market?

A) These markets offer only specialty goods so that consumers will make a special effort to buy them.
B) These markets offer certain products that have a limited number of buyers.
C) These markets offer goods that are purchased by all types of firms in many different industries.
D) These markets include only those convenience goods that are purchased frequently and with minimum effort.

Question 30

_____ goods are purchased frequently with minimum effort.

A) Specialty
B) Convenience
C) Shopping
D) Organizational

Question 31

Which of the following statements is true?

A) The terms quality and value are synonymous in the context of product management.
B) The term quality applies to external aspects of product management, while value relates to the internal factors
C) The level of quality and value a firm's products have cannot be measured against external standards.
D) The concept of value combines the quality and the price elements of the product mix.

Question 32

Firearms Training Systems (FATS)is the leading producer of interactive simulation systems designed to provide training in the handling and use of small and supporting arms for law enforcement,military,and commercial applications.FATS is also ISO 9000-certified.The ISO 9000-certification means FATS:

A) provides low-cost products in a relatively horizontal market.
B) meets standardized levels of product quality.
C) follows a traditional marketing approach focused primarily on product features.
D) competes in a purely vertical market.

Question 33

The width of a product mix refers to the:

A) number of product lines handled by the organization.
B) maximum number of products in each line.
C) total number of products in each line marketed through personal selling.
D) market share of the organization in the industry.

Question 34

A _____ consists of several product lines,or groups of products that share common characteristics,distribution channels,customers,or uses?

A) product variant
B) product anchor
C) product mix
D) product feature

Question 35

Many organizational goods are subject to _____ and a long period of negotiation is often required to finalize the purchase decision.

A) single-purchase influence
B) multiple-purchase influence
C) reference-group influence
D) straight rebuy system

Question 36

_____ goods fall under the category of convenience goods.

A) Impulse
B) Agricultural
C) Organizational
D) Specialty

Question 37

_____ refers to a market for organizational products that have a limited number of buyers.

A) Horizontal market
B) Consumer market
C) Vertical market
D) Convenience goods market

Question 38

What does the depth of a product mix refer to?

A) The number of product lines handled by the organization
B) The length of time a product has been in the market
C) The average number of products in each product line
D) The total market share of the company from all its products

Question 39

The vertical market for a product is deep.Which of the following best explains the previous statement?

A) Customers who buy the product are highly likely to switch to substitutes.
B) A large percentage of the producers in the market use the product.
C) The product is purchased by all types of firms in many different industries.
D) The product appeals to different social classes of consumers.

Question 40

Compact,a leading manufacturer of measurement devices,makes handheld devices for continuous monitoring of the atmosphere in manufacturing plants where hazardous materials are routinely used as component materials.Since the number of industries that require such protective devices is limited,it can be said that Compact operates in a _____.

A) consumer goods market
B) vertical market
C) specialty goods market
D) high-demand market

Question 41

Identify a method of differentiating a relatively homogeneous product.

A) Market penetration
B) Mass marketing
C) Distinctive packaging
D) Family branding

Question 42

The use of a brand name to facilitate entry into a new market segment without entering a new product class is called _____.

A) brand extension
B) line extension
C) myopic marketing
D) multibranding

Question 43

Which of the following statements about brand equity is true?

A) Brand equity is what the customer gets in exchange for what the customer gives.
B) Organizational products cannot have brand equity.
C) Brand equity is not impacted by advertising and promotional efforts.
D) Brand equity may add or subtract value.

Question 44

Fresh-Cola,Inc.is a manufacturer of carbonated drinks that package their products in bottles,cans,and 12-pack cartons.A standard 12-pack carton of soft drinks neither fits conveniently in the standard-size refrigerator shelf,nor can the drinks be easily dispensed from the carton.Fresh-Cola introduced a new design it calls the refrigerator pack.The refrigerator pack is designed to fit easily on a standard refrigerator shelf and dispenses one can at a time.With its new refrigerator pack,Fresh-Cola is:

A) implementing a private branding strategy.
B) using packaging as a part of its product differentiation strategy.
C) using a brand extension strategy for market development.
D) implementing a cost leadership strategy in the market for carbonated drinks.

Question 45

What does the multibranding strategy involve?

A) Companies marketing their brand jointly with that of their competitors
B) Companies assigning different brand names to each of their products
C) Companies attaching their corporate name to a product to enter a different product class
D) Companies assigning different brand names to the same products in different outlets

Question 46

One of the advantages of using _____ is that the firm can distance products from other offerings it markets.

A) dual branding
B) multibranding
C) family branding
D) cobranding

Question 47

Which of the following statements is true with regard to brand equity for organizational products?

A) Unlike consumer products, organizational products do not possess brand equity.
B) The success or failure of brand names for organizational products is local in nature and does not affect its global reputation.
C) Successful extension of an existing brand is a highly successful strategy for organizational goods as firm loyalty does not differ from brand loyalty.
D) Attempts to establish or change brand image must take into account distributor channel members employed to distribute the product.

Question 48

Pearson & Toffer,Inc.makes SilkySoft soap for people who are concerned about soft skin.They also make SafeChoice soap for those consumers who want deodorant protection.What is the branding strategy used by Pearson & Toffer in this scenario?

A) Multibranding
B) Dual branding
C) Cobranding
D) Family branding

Question 49

Products ranging from cranberries to grapefruits marketed by Ocean Spray are sold under the Ocean Spray corporate name.From the information provided in the scenario,Ocean Spray uses a _____ strategy.

A) dual branding
B) singular branding
C) family branding
D) cobranding

Question 50

Which of the following observations concerning the product life cycle is true?

A) The length of time a product will remain in each stage can be predicted with accuracy.
B) Marketers can forecast when one stage will end and another will begin.
C) Product life cycle should be taken as the greatest determinant of the firm's sales and marketing strategy.
D) Different products go through the product life cycle in varying pace and differing patterns.

Question 51

Which of the following is true of the different stages in the product life cycle?

A) Market sales are highest in the maturation stage.
B) Market sales begin to increase in the continued expansion stage.
C) The growth stage is the first stage of the product life cycle.
D) Profits are nonexistent in the decline stage.

Question 52

In _____,a current brand name is used to enter a completely different product class.

A) line extension
B) brand extension
C) brand dilution
D) generic branding

Question 53

When a corporate name is attached to a product to enter into an entirely new market segment,it would be an example of _____.

A) multibranding
B) franchise extensions
C) generic branding
D) line extensions

Question 54

_____ is defined as the culmination of the consumer's assessment of the product,the company that manufactures and markets the product and all other variables that impact on the product between manufacture and consumer consumption.

A) Product feature
B) Brand equity
C) Brand dilution
D) Product extension

Question 55

The McGregor Corporation makes four different varieties of their brand of Maxim cereal.These varieties are Maxim corn flakes,Maxim raisin bran,Maxim honey clusters,and Maxim brown sugar and oats cereal.McGregor Corp.has used a _____ with its Maxim cereal brand.

A) line extension approach
B) multibranding approach
C) brand extension approach
D) franchise extension approach

Question 56

A beer manufacturer produces four different brands of beer,namely,RedStar,RedStar Light,Grande,and Hollis.RedStar is a standard brew,while StarLight has a low alcoholic content.Grande is a low calorie beer,while Hollis is non-alcoholic.Why does the manufacturer use different brand names for each of their products?

A) To minimize the importance of brand equity
B) To enjoy the benefits associated with mass marketing
C) To inform consumers that all the offerings are homogeneous
D) To target specific market segments more efficiently

Question 57

Spending significant amounts of money to familiarize customers with new brands is a disadvantage primarily associated with _____.

A) family branding
B) multibranding
C) dual branding
D) product line extensions

Question 58

Brand equity is:

A) the set of assets or liabilities linked to the brand that adds or subtracts value.
B) independent of the consumer's assessment of the product.
C) the extension of an existing brand that has a generic and popular name.
D) independent of the results of the marketplace perception and assessment of a brand.

Question 59

Arm & Hammer first introduced a line of toothpastes under the Arm & Hammer brand name.The introduction of a mouthwash and a chewing gum using the Arm & Hammer brand name is an example of _____.

A) line extensions
B) multibranding
C) brand extensions
D) mass marketing

Question 60

Products that are equivalent to national brands but are priced much lower are called _____.

A) prestige brands
B) private-label brands
C) generic product brands
D) dual brands

Question 61

Which of the following shows how a product was improved by modifying a product attribute?

A) A soft drinks manufacturer deleted one of its drinks due to low sales.
B) The large casino in Reno began advertising on the Internet.
C) A dairy products manufacturer introduced mega-packs of sliced cheese which are sold at lower prices.
D) A company that sells packaged seafood and meat added a pamphlet of recipes to each package of its seafood.

Question 62

The diffusion of innovation is:

A) used to describe an audit task.
B) described using five adopter categories.
C) applied to products at the introductory stage of the product life-cycle.
D) used to describe the ability of an organization to create entirely new products.

Question 63

In relation to product improvement,_____ refer mainly to product features,design,package,and so forth.

A) deletions
B) attributes
C) extensions
D) audits

Question 64

Identify the primary reason for conducting a product audit.

A) To develop a marketing plan for new products
B) To detect sick products and delete them
C) To earn the estimated profits without introducing new products
D) To implement cost cutting strategies without altering the product mix

Question 65

Which of the following adoptive categories involved in diffusion of innovation are most reluctant to make changes and are comfortable with traditional products?

A) Early majority
B) Laggards
C) Early adopters
D) Innovators

Question 66

According to the adopter categories of diffusion of innovation,laggards:

A) are fearful of debt, but may eventually purchase a well-established brand.
B) are the first to purchase a product through early-bird promotional offers.
C) are the first to buy a new product as a result of their own interest in the latest goods.
D) are most likely to begin buying new goods if the experience of innovators is favorable.

Question 67

Which of the following statements about product deletion is true?

A) Product deletions are necessary because a decreasing number of new products are being introduced each year.
B) A deletion plan involves keeping consumers supplied with replacement parts and repair service.
C) The deletion plan is not required to provide for clearing out of stock in question.
D) The deletion plan should let the retailer or distributor delete a product.

Question 68

According to the adopter categories of product diffusion,the biggest category of buyers is divided into the two groups called the _____.

A) innovators and laggards
B) laggards and late majority
C) early majority and late majority
D) early majority and innovators

Question 69

A marketing management technique whereby the company's current product offerings are reviewed to ascertain whether each product should be continued as is,improved,modified or deleted is known as _____.

A) product generation
B) product audit
C) product definition
D) product creation

Question 70

What is diffusion of innovation?

A) It is the creation of an entirely new product for an unexplored market.
B) It refers to the number of similar products that are in the market.
C) It is the spread of a product through the population.
D) It is the degree of innovation that an organization possesses.

Question 71

Why are a growing number of products being introduced each year and competing for limited shelf space?

A) New knowledge is being applied faster in the area of product development.
B) There is an increase in time between product introductions.
C) Companies are consistently removing old products from the market.
D) The time-to-market has substantially increased in recent years.

Question 72

A company changes the packaging of one of its existing products to make it more attractive to consumers.The company has undertaken product improvement by changing the _____.

A) marketing dimensions
B) product attributes
C) channels of distribution
D) target markets

Question 73

Which of the following shows how a product was improved by modifying the marketing dimension of channels of distribution?

A) The Caribbean cruise was improved by the addition of two more stops in Mexico.
B) The 800-page history of chiropody was improved by the development of an extensive index.
C) Liz Claiborne expanded the number of retail outlets that carries its sportswear.
D) The Dillard House restaurant added three new vegetarian dishes to its menu.

Question 74

What are fads?

A) Accepted and popular products that go through a repetitive cycle of popularity
B) An organizational product that can be sold cheaply in bulk quantities
C) A product that experiences an intense but often very brief period of popularity
D) A specialty product that has retained its popularity for a long time

Question 75

Price,promotion strategy and channels of distribution are examples of _____.

A) marketing dimensions
B) marketing trends
C) product features
D) product attributes

Question 76

According to the adopter categories of diffusion of innovation,consumers who are first to purchase a product are known as _____.

A) innovators
B) early adopters
C) laggards
D) early majority

Question 77

When contemplating a product deletion,why should a firm study customer migration patterns?

A) To determine the profit contribution of the product to the firm
B) To determine whether the goods can be produced within the reduced time-to-market estimates to ensure that there is some competitive offering in the market at all times
C) To determine whether products have reached a level of maturity and saturation in the market
D) To determine whether customers of the product would switch to other substitute products marketed by the same firm

Question 78

According to the process of product adoption and diffusion,which of the following adoptive categories first begins to buy a product if the experience of innovators has been favorable?

A) Laggards
B) Early majority
C) Late majority
D) Early adopters

Question 79

Which of the following is an attribute that may be changed to improve a product?

A) Product price
B) Promotion strategy
C) Distribution channels
D) Product features

Question 80

_____ are accepted and popular products that go through a repetitive cycle of popularity.

A) Fashions
B) Impulse goods
C) Specialty products
D) Fads