Deck 9: Designing and Managing Products and Brands: Building Customer Value

Question 1

About ________ percent of new product ideas come from within the company.

A) 10
B) 28
C) 55
D) 70

Answer 1

C

Question 2

In the joining phase of the customer delivery system:

A) The customer arrives at the service location
B) The customer consumes the service
C) The customer refers new customers to the service
D) The customer makes the initial inquiry contact

Answer 2

D

Question 3

The process of sourcing ideas by inviting broad communities of people is called:

A) External idea sourcing
B) Crowdsourcing
C) Outsourcing
D) None of the above

Answer 3

B

Question 4

Marketing tests give management the information it needs to make a final decision about:

A) Shelving a product
B) Launching a new product
C) Allocating priority of launch to a product
D) Allocating budget to an existing product

Question 5

In the ________ stage of the product life cycle, sales decrease and supplies start to exceed demand.

A) Introduction
B) Growth
C) Decline
D) Maturity

Question 6

The additional consumer services and benefits built around the actual product are called the:

A) Core product
B) Augmented product
C) Facilitating product
D) Supportive product

Question 7

The stage of the new product development process where the number of new product ideas is reduced is called:

A) Idea screening
B) Business analysis
C) Concept testing
D) Test marketing

Question 8

Which of the following is NOT something to which brand can be positioned?

A) Product attributes
B) Product pricing
C) Product benefits
D) Beliefs and values

Question 9

The final stage in the new product development process is:

A) Test marketing
B) Commercialization
C) Idea screening
D) Concept testing

Question 10

The added value endowed on products and services is the:

A) Brand equity
B) Brand mark
C) Brand name
D) Trademark

Question 11

The most important source of new-product ideas are:

A) Employees
B) Board members
C) Customers
D) Stock holders

Question 12

Market testing is a concept that:

A) Applies to each new product equally
B) Varies with each new product
C) Must be implemented uniformly to each new product
D) May be waived for product that are deemed cleared by the board

Question 13

The differential effect that knowing the brand name has on customer response to the product and its marketing is termed:

A) Brand presence
B) Brand positioning
C) Brand equity
D) Brand liability

Question 14

About ________ percent of all new product ideas come from consumers.

A) 10
B) 28
C) 55
D) 70

Question 15

A detailed version of an idea stated in meaningful consumer terms is defined as:

A) Product idea
B) Product concept
C) Product image
D) None of the above

Question 16

In the ________ phase of the new product development process prototypes appear for the first time.

A) Idea generation
B) Concept development
C) Test marketing
D) Product development

Question 17

The purpose of "idea screening" is:

A) To generate a great number of ideas in a short time span
B) To segregate ideas into categories based on brands
C) To spot good ideas and drop poor ones as quickly as possible
D) To differentiate between ideas based on brand presence

Question 18

SSTs are a rapidly growing means for increasing customer coproduction in food-service experiences. SST stands for:

A) Self-serving technique
B) Self-service technology
C) Sure selling technique
D) Sure shot technology

Question 19

When a company envisions a possible product that company managers might offer to the market, it is called:

A) Product idea
B) Product concept
C) Product image
D) None of the above

Question 20

The ________ product level answers the question of what is really being bought.

A) Core
B) Supportive
C) Facilitating
D) Augmented

Question 21

The main aural dimensions of atmosphere are scent and freshness.

Question 22

The action taken toward a product that may cause harm or customer dissatisfaction is called:

A) Run out
B) Drop
C) Phase out
D) None of the above

Question 23

The detachment phase occurs when a customer is through using a product or service and departs.

Question 24

Those services or goods that must be present for the guest to use the core product are called:

A) Supporting products
B) Ancillary products
C) Secondary products
D) Facilitating products

Question 25

Brand equity is a function of brand loyalty, name awareness and other factors.

Question 26

A brand name derives its value from customer perceptions.

Question 27

The stage in a product life cycle when sales growth slows or levels off is called:

A) Phase out
B) Out phase
C) Exit phase
D) Maturity

Question 28

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

A) It should be distinctive.
B) It should be easy to pronounce.
C) It should not translate easily into foreign languages.
D) It should be extendable.

Question 29

Removing a product after existing stock has been depleted; used when sales for an item are low and costs exceed revenues, such as the case of a restaurant serving a crabmeat cocktail with sales of only one or two items per week.

A) Phase out
B) Run out
C) Exit phase
D) Maturity

Question 30

In one study, researchers found that about 50 percent of restaurant customers were willing to pay a little more for brand-name products.

Question 31

Phase-out is the ideal way of removing a product from the market.

Question 32

A product image is a detailed version of a product idea stated in meaningful consumer terms.

Question 33

Facilitating products are those services or goods that must be present for the guest to use the core product.

Question 34

Define a hospitality industry product.

Question 35

Atmosphere is appreciated through the senses. Sensory terms provide descriptions for the atmosphere of a particular set of surroundings. Describe the main sensory channels.

Question 36

Hospitality managers need to think about the product on four levels. Briefly describe each level.

Question 37

It is a commonly accepted fact that some products can avoid ever entering a decline phase.

Question 38

The dimension of atmosphere relating to volume and pitch is called:

A) Vocal
B) Volume
C) Aural
D) Visual

Question 39

Companies can leverage an existing brand by employing co-branding and ingredient branding.

Question 40

A high-load environment creates a relaxing mood.

Question 41

Each product will have a life cycle, although its exact shape and length is not known in advance. Briefly explain each step in the product life cycle.

Question 42

Define brand. What is the importance of a brand name? Provide examples to support your answer.