Deck 10: Product, Branding, and Packaging Decisions

Question 1

Kellogg's sells many different breakfast cereals,including Corn Flakes,Rice Krispies,Frosted Flakes,Raisin Bran,and Special K.This is an indication of the breadth of the Kellogg's product mix.

Answer 1

False

Question 2

A product is anything that is of value to a consumer and can be offered through a voluntary exchange.

Answer 2

True

Question 3

A __________ is a group of associated items that consumers tend to use together or think of as part of a group of similar products.

A) product line
B) product mix
C) product breadth
D) line extension
E) brand extension

Answer 3

A

Question 4

A customized carved cedar wood sign for your house is an example of a convenience product.

Question 5

Harold is a loyal Coca-Cola drinker.Loyal customers like Harold are typically less price sensitive than other consumers,benefiting businesses like Coca-Cola.

Question 6

If Microsoft decided to sell mobile phones under the Xbox brand (which it uses for its gaming systems),this would be an example of a line extension.

Question 7

The more familiar customers are with a brand,the harder their decision-making process will be.

Question 8

In retailing,effective packaging sends the message:

A) More packaging,means more product.
B) Buy me!
C) I have more features than the competition.
D) I am cheaper than the competition.
E) There is nothing toxic inside.

Question 9

Brands enable customers to quickly differentiate one firm or product from another.

Question 10

For the average college student,a retirement account would be a shopping product.

Question 11

A product label is just a required sticker on a package.

Question 12

Copycat brands are imitations often sold by street vendors.

Question 13

Effective packaging and labels send the signal: "Buy me."

Question 14

Brand equity is calculated by subtracting sales of generic brands from the sales of branded items in a category.

Question 15

A product is __________ that can be offered through a voluntary marketing exchange.

A) the combination of a firm's marketing mix
B) the brand associations
C) the category depth
D) a tangible item
E) anything of value to consumers

Question 16

The complete set of all products offered by a firm is called its:

A) product line.
B) product categories.
C) product mix.
D) product breadth.
E) product line depth.

Question 17

In entertainment licensing,both licensors and licensees run the risk that characters based on books and movies will be just a fad.

Question 18

For a company like Pepsi-Cola,brand dilution occurs when they dilute their product.

Question 19

A company's product line consists of its various product mixes.

Question 20

When purchasing a mobile phone,the product you are buying is more than just the phone.

Question 21

The primary purpose of a brand is to:

A) sell advertising space.
B) minimize product line depth needed to be effective.
C) distinctly identify one seller's goods or services from competitors' offerings.
D) protect product packaging.
E) meet government regulations.

Question 22

For many years,General Electric had a corporate strategy of being among the top three firms in any market in which it operated; if it could not achieve a top-three position,it would exit the market.This strategy often resulted in the company __________ when certain product lines failed to meet this expectation.

A) increasing product line depth
B) decreasing product line depth
C) decreasing product mix breadth
D) increasing product mix breadth
E) introducing brand extensions

Question 23

Parents of young children have been known to drive out of their way so their kids will not see McDonald's Golden Arches and plead with their parents to stop.For McDonalds,the Golden Arches reduce marketing costs because people (including young children):

A) have memorized the McDonald's menu.
B) prefer yellow to other colors.
C) know what the Golden Arches brand symbol means.
D) recognize increases in product line depth.
E) are sensitive to brand repositioning.

Question 24

It is almost impossible to watch a sporting event on television without seeing Nike's "swoosh" check mark,which is Nike's:

A) name.
B) symbol.
C) design.
D) term.
E) all of these.

Question 25

A firm's product mix breadth is its:

A) number of items per product line.
B) depth divided by profitability.
C) number of categories that are mutually exclusive.
D) number of product lines.
E) brand equity multiplied by its capacity utilization.

Question 26

Marketers with successful brands sometimes hesitate to expand the use of their brands because:

A) the Federal Trade Commission regulations limit the number of products that can be marketed under an individual brand name.
B) it is costly to maintain many product lines,and might weaken the firm's brand reputation.
C) it is often difficult to get additional marketing communications coverage for the brand.
D) manufacturing divisions usually control brand expansion and are often in conflict with the marketing division.
E) all of these.

Question 27

Firms often add new product lines to:

A) capture new markets.
B) respond to evolving markets.
C) increase sales.
D) compete in new venues.
E) all of these.

Question 28

A university that has separate graduate and undergraduate admission offices recognizes that these are distinct:

A) brand associations.
B) product / service lines.
C) product mixes.
D) brands.
E) co-brands.

Question 29

Brands are assets that can be legally protected through:

A) copyrights and trademarks.
B) financial reporting.
C) brand extensions.
D) generic branding.
E) corporate branding strategies.

Question 30

When consumers associate a brand with a certain level of quality and familiar attributes allowing consumers to make quick decisions,the brand:

A) establishes novelty.
B) is the only one the consumer will consider.
C) reduces delivery costs.
D) facilitates purchasing.
E) creates brand dilution.

Question 31

The decision to delete a product is never taken lightly because,generally,manufacturers have:

A) offered the product line to other firms for purchase.
B) made substantial investments in brand development and manufacturing.
C) promised consumers they will maintain the product.
D) used brand repositioning to improve results.
E) all of these.

Question 32

Zappos is a successful online shoe company.One of the difficulties in running a shoe company is the need to have significant __________,a large number of items in each product line.

A) brand equity
B) product line breadth
C) product line depth
D) product mix depth
E) product mix breadth

Question 33

Firms with upscale brands like Rolex and Gucci often have to protect their brand assets from:

A) product line depth.
B) counterfeits.
C) generic competition.
D) brand associations.
E) brand extensions.

Question 34

For a brand to be effective,it needs to be:

A) easy for consumers to recognize and remember.
B) a catchy,tongue-twisting phrase.
C) a visual image containing human characters.
D) generic,so it can be applied to as many products as possible.
E) associated with a sports or movie superstar.

Question 35

One key feature of the value of a brand is that:

A) it often protects the firm from competition and price competition.
B) it no longer needs to be supported by advertising and promotion.
C) if it becomes a generic name,the brand is worth even more.
D) it cannot be successfully imitated by a retailer's own brand.
E) competitors will frequently abandon a sector altogether rather than compete.

Question 36

Marketers spend billions of dollars annually attempting to build effective brands.The basic benefit of a brand is that it:

A) creates a basis for effective packaging.
B) provides a way for a firm to differentiate its product offerings from those of its competitors.
C) offers consumers promotional parity.
D) allows manufacturers to ignore promotional expenditures.
E) reduces the need for product line depth.

Question 37

A(n)__________ is a name,symbol,design,or term that identifies a seller's good or service as distinct from those of other sellers.

A) SKU
B) product line
C) supply chain
D) commodity
E) brand

Question 38

__________ is the number of items within a product line.

A) Brand equity
B) Product line breadth
C) Product line depth
D) Product mix depth
E) Product mix breadth

Question 39

For a major university,undergraduate studies,graduate studies,and professional programs would be __________ within the university's product mix.

A) brand associations
B) family brands
C) co-brands
D) product lines
E) private label brands

Question 40

Firms with well-known brands can spend relatively less on marketing costs than firms with little-known brands because:

A) brands protect corporate copyrights.
B) consumer loyalty can be bought for less now compared to the past.
C) brand equity can only be obtained by means of product line depth.
D) people already know what the brand means.
E) well-known brands are less likely to introduce brand extensions.

Question 41

Relatively few consumers like to go to the dentist.Dental insurance plans that pay for regular checkups increase the __________ of dental care by reducing the cost to the consumer.

A) perceived value
B) brand awareness
C) brand loyalty
D) generic positioning
E) brand extension

Question 42

__________ is the set of assets and liabilities linked to a brand that add to or subtract from the value provided by the product or service.

A) Brand positioning
B) Brand licensing
C) Brand association
D) Brand equity
E) Brand solvency

Question 43

Whether they like them or not,most U.S.automobile customers are familiar with and have an opinion about American-made cars.This familiarity makes it easier for consumers to:

A) meet their self-actualization needs.
B) make purchase decisions.
C) consider repositioning their opinions.
D) pursue generic alternatives.
E) negotiate discounts.

Question 44

A __________ is one where there is a contractual arrangement between firms allowing one to use its brand name for a fee.

A) franchise brand
B) joint venture brand
C) shared brand
D) common use brand
E) licensed brand

Question 45

Kleenex tissues,Clorox bleach and Scotch tape brands have:

A) successfully employed private label branding.
B) distinctive brand substitutability.
C) grown through private label branding.
D) become synonymous with the product itself.
E) avoided brand extensions.

Question 46

Sometimes brand names become synonymous with a product itself.If that happens,the firm:

A) has achieved brand nirvana.
B) could lose its trademark.
C) should try co-branding in order to avoid brand dilution.
D) should consider a new packaging strategy.
E) all of these.

Question 47

Nora is deciding whether to purchase Sport-Ease sneakers or a store brand.She has purchased other Sport-Ease shoes in the past but was only marginally satisfied.In this situation,Nora is likely to purchase the store brand sneakers because they offer:

A) more brand awareness.
B) higher degrees of brand loyalty.
C) greater perceived value.
D) a better brand image.
E) more product line depth.

Question 48

Many former Enron employees who had nothing to do with the corporation's financial scandal have found that listing employment with Enron hurt their chances of being hired elsewhere.For these people,the Enron name has:

A) no brand associations.
B) unspent brand loyalty.
C) private label impact.
D) brand dilution.
E) negative brand equity.

Question 49

For marketers,one of the benefits of having achieved brand loyalty is:

A) recognition through industry awards.
B) lower marketing costs associated with reaching loyal customers.
C) increased price sensitivity among loyal customers.
D) greater concern about competitors' actions.
E) all of these.

Question 50

Jenna always buys Stacy's brand pita bread chips.She does not even consider alternatives.Jenna is a __________ customer.

A) price sensitive
B) brand persuasion oriented
C) brand association oriented
D) brand extension oriented
E) brand loyal

Question 51

In a competitive market,perceived value is determined by consumers mostly:

A) by quantitative analysis of brand personalities.
B) in relationship to the value of competitors' offerings.
C) by weighing primary versus secondary benefits.
D) through investment in product tracking systems.
E) through brand association and brand licensing.

Question 52

Salina is working to create greater brand awareness for her company's new line of personal digital assistants.To create greater brand awareness Salina will make sure that promotion features the brand:

A) name.
B) logo.
C) packaging.
D) slogan.
E) any or all of these.

Question 53

Why would a firm spend over $2 million for a 30-second ad on television during the Super Bowl?

A) Because of the annual competition for the most creative Super Bowl ad.
B) Because the Super Bowl offers an opportunity to create significant brand awareness.
C) Because the Super Bowl is a significant opportunity to be associated with global marketing.
D) Because Super Bowl ads generate brand loyalty.
E) There is no good reason to spend over $2 million for a Super Bowl ad.

Question 54

A series of Apple Computer Company ads aired between 2006 and 2010 featured a young,casually-dressed,friendly person as an Apple computer type,while the Microsoft computer person was portrayed as stiff,geeky,and awkward.Apple was trying to create comparative:

A) product line depth.
B) brand persuasion orientation.
C) brand association orientation.
D) brand extension orientation.
E) brand personalities.

Question 55

Which of the following is NOT one of the four criteria used for evaluating a brand's equity?

A) Brand awareness.
B) Brand loyalty.
C) Brand associations.
D) Brand conceptualization.
E) Brand perceived value.

Question 56

Laura prefers Sony products and will only purchase alternatives when there are no Sony products available.Laura's brand loyalty means she is:

A) relatively insensitive to price.
B) uninformed about the product category.
C) product category committed.
D) a brand equity investor.
E) all of these.

Question 57

Firms spend millions of dollars annually to build brand equity,recognizing brand equity contributes to:

A) product mix breadth.
B) corporate stakeholder relations.
C) profitability.
D) brand liability.
E) perceived brand personality.

Question 58

If many consumers in the marketplace are familiar with a brand and what it stands for and have an opinion about the brand,the brand has considerable:

A) awareness.
B) equity.
C) extension.
D) integration.
E) co-branding.

Question 59

Matt was passionate about Abercrombie & Fitch.It was the only place he'd buy his clothes.If anyone asked him about clothes,he would talk for what seemed like hours about why he only shopped there.From a strictly marketing perspective,this word of mouth is part of:

A) social insistence.
B) brand loyalty.
C) self-actualization.
D) motivation.
E) brand extension.

Question 60

The value of a brand is often calculated by assessing the:

A) difference between brand equity and brand liability.
B) corporate profitability divided by the monthly brand earnings.
C) earning potential of the brand over the next 12 months.
D) effect of brand dilution if it occurred.
E) average product line depth.

Question 61

Brands that are owned by __________ are called private-label brands.

A) manufacturers
B) wholesalers
C) supply chain specialists
D) retailers
E) manufacturer's reps

Question 62

The basic reason manufacturers spend time and money building their own brands is to:

A) create brand awareness.
B) build brand equity.
C) offset the power of private label manufacturers.
D) create positioning possibilities for their generic product lines.
E) to maximize product line depth.

Question 63

Procter & Gamble (P&G)is a huge national brand manufacturer.By having leading brands like Tide and Crest,P&G:

A) can monopolize store brands.
B) has greater opportunity to dictate retail pricing.
C) has greater control over marketing strategy.
D) can increase brand dilution.
E) all of these.

Question 64

Another name for a manufacturer's brand is a __________ brand.

A) systematic
B) extended
C) national
D) premium
E) private label

Question 65

The potential benefits of brand extension include:

A) It allows the perception of a brand with a quality image to be carried over to the new product.
B) It lowers marketing costs.
C) It can boost sales of the core brand.
D) the firm can spend less on creating brand awareness and associations.
E) all of these.

Question 66

Which of the following types of products and services is most likely to be sold as a generic brand?

A) Soda
B) Real estate
C) Automobiles
D) Jeans
E) Onions

Question 67

Lionel Smith Ltd.is a traditional men's clothing store.Every fall the owner sends an embossed invitation (much like a wedding invitation)to his regular customers,inviting them to a private reception showing the new fall line of clothes.For Lionel Smith Ltd.,one of the benefits of having established a loyal customer base is:

A) recognition through industry awards.
B) higher marketing costs associated with reaching loyal customers.
C) that he can be less concerned about competitors' actions.
D) increased price sensitivity among loyal customers.
E) all of these.

Question 68

Consumers might not realize that Old Spice health and wellness products and Iams pet nutrition products are manufactured by the same company--Procter & Gamble.Old Spice and Iams are known as:

A) individual brands
B) family brands
C) corporate brands
D) traditional brands
E) registered brands

Question 69

Brand extension is a popular marketing strategy because:

A) it separates out the cost of brand extension from brand intention.
B) it allows the firm to discontinue complementary products.
C) the firm can spend less on creating brand awareness and associations.
D) it avoids the problem of brand dilution.
E) all of these.

Question 70

When Procter & Gamble added tooth whitening products under the Crest brand,the firm was engaged in:

A) corporate branding.
B) brand extension.
C) brand licensing.
D) brand association.
E) perceived value branding.

Question 71

Which of the following is NOT one of the types of private label brands?

A) Premium brands
B) Generic brands
C) Copycat brands
D) Exclusive co-brands
E) Experiential brands

Question 72

One of the major tools used by marketers to meet the needs of loyal customers is:

A) SKU
B) PDQ
C) IMF
D) CRM
E) GATT

Question 73

Frequent buyer / user award programs are used to:

A) increase price sensitivity.
B) decrease co-branding costs.
C) lower licensing fees.
D) expand product line depth.
E) maintain contact with loyal customers.

Question 74

One of the categories of products for which brand extension is logical is:

A) generic goods.
B) generic services.
C) commodities.
D) complementary goods.
E) licensed brands.

Question 75

Private-label brands like Gap and Victoria's Secret have increased in importance along with the increased power of __________ in the supply chain.

A) manufacturers
B) wholesalers
C) supply chain specialists
D) retailers
E) manufacturer's reps

Question 76

Brian was working on the floor of a chain electronics store trying to help a confused customer.The customer said,"The television sets look the same,but the model numbers are different and this one is more expensive." Brian explained it was made specifically for his store.This is an example of a specific type of private-label brand,called a(n):

A) store brand.
B) national brand.
C) copycat brand.
D) exclusive co-brand.
E) premium store brand.

Question 77

Becky was very particular.She always chose designer labels and nationally known brands,even if they were more expensive,with one exception.She always bought the store brand chocolate chip cookies from her grocery store.They were high-end cookies,made with real butter and other fresh ingredients.This type of store brand is known as a:

A) manufacturer's brand.
B) distinctive brand.
C) premium brand.
D) value brand.
E) quality brand.

Question 78

A personal digital assistant programmed with key customers' birthdates,wine preferences,and food allergies is a __________ tool.

A) SKU
B) PDQ
C) IMF
D) CRM
E) GATT

Question 79

Private-label brands are owned and managed by:

A) manufacturers.
B) wholesalers.
C) supply chain specialists.
D) manufacturer's reps.
E) retailers.

Question 80

Brands can be owned by:

A) manufacturers only.
B) any firm in the supply chain.
C) retailers only.
D) wholesalers and retailers only.
E) only private label generic retailers.