Deck 10: Developing New Products and Services

Question 1

A product is

A) a tangible good received in exchange for a person's time and effort.
B) intangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value.
C) a good that has in some way been altered, combined, or improved and sold to organizational buyers.
D) a thought that leads to an action such as a concept for a new invention.
E) a good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers' needs and is received in exchange for money or something else of value.

Answer 1

E

Question 2

Which of these is the best example of a nondurable good?

A) vacuum cleaner
B) gaming console
C) football
D) batteries
E) bed frame

Answer 2

D

Question 3

Which of the following is expected to be the next chapter for Apple's product development?

A) Apple Fridge
B) iCar
C) iToothbrush
D) iFlashlight
E) Apple Surfboard

Answer 3

B

Question 4

Which of these is the best example of a nondurable good?

A) notebook paper
B) skateboard
C) insurance
D) smartphone
E) laser surgery

Question 5

Goods can be divided into ________ goods and ________ goods.

A) functional; aesthetic
B) necessary; desired
C) tactile; conceptual
D) durable; nondurable
E) product; service

Question 6

The division of products into durable and nondurable goods helps to

A) comply with NAICS guidelines.
B) address environmental concerns.
C) comply with ISO 9000 requirements.
D) classify products for tax purposes.
E) provide direction for marketing actions.

Question 7

A product that has tangible attributes that a consumer's five senses can perceive is referred to as

A) a good.
B) a service.
C) a product concept.
D) an idea.
E) an artifact.

Question 8

As a marketing term, ________ generally includes not only physical goods, but also services and ideas.

A) marketing
B) invention
C) merchandise
D) product
E) concept

Question 9

All of the following are considered to be new-product development failures or stumbles by Apple except which?

A) Apple Newton
B) Apple Lisa
C) "hockey puck" mouse
D) Macintosh Portable
E) CarPlay

Question 10

Which of the following statements regarding goods is most accurate?

A) In order to be classified as a good, an item must appeal to all five senses.
B) Music is not considered a good because it only involves a single sense-hearing.
C) Some goods, though defined by their tangible attributes, also have intangible ones.
D) To market a good that contains visual attributes, you cannot use an auditory medium.
E) The aroma of chocolate chip cookies is considered an idea because it affects one's senses.

Question 11

A good, as opposed to a service or an idea, has tangible attributes that a consumer's ________ can perceive.

A) cognitive intelligence
B) vision
C) knowledge of past experiences
D) five senses
E) emotional intelligence

Question 12

Food products and fuel would be classified as

A) services.
B) perishable goods.
C) durable goods.
D) nondurable goods.
E) disposable goods.

Question 13

A good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers' needs and is received in exchange for money or something else of value is

A) a utility bundle.
B) a product.
C) an exchange.
D) an artifact.
E) merchandise.

Question 14

A ________ is defined as an item consumed in one or a few uses.

A) durable good
B) convenience good
C) specialty good
D) shopping good
E) nondurable good

Question 15

The Apple innovation that leading car manufacturers are incorporating into their offerings that allows users to make calls, listen to music, and access messages by voice or touch while driving is referred to as

A) iPod.
B) iCloud.
C) iCar.
D) iPad.
E) CarPlay.

Question 16

A product is a good, service, or idea consisting of ________ that satisfy consumers' needs and is received in exchange for money or something else of value.

A) a promise or commitment exchanged between a seller and a buyer
B) a bundle of tangible and intangible attributes
C) an assortment of value-possessing activities
D) an array of physical attributes
E) a collection of tangible qualities

Question 17

Among consumer products, advertising is especially important for

A) durable goods.
B) specialty products.
C) nondurable goods.
D) production goods.
E) undifferentiated goods.

Question 18

Which of the following statements regarding goods is most accurate?

A) Nondurable goods rely more on advertising than durable goods.
B) Durable goods benefit more from advertising than nondurable goods.
C) There is little, if any, difference between marketing actions for durable and nondurable goods.
D) Nondurable goods rely more on personal selling than durable goods.
E) The durable and nondurable classification applies to services as well as to goods.

Question 19

The Macintosh, iPod, iPhone, iPad, CarPlay, Apple Watch, and Apple AirPods are all examples of Apple's commitment to

A) sustainable procurement.
B) social responsibility.
C) new product development.
D) using renewable resources.
E) respecting its workforce.

Question 20

A nondurable good is

A) an item consumed in one or a few uses.
B) an item that usually lasts over an extended number of uses.
C) an item that lasts at least one year without becoming obsolete.
D) a product purchased only for the use of ultimate consumers.
E) a product used in the production of other products.

Question 21

Services are

A) philanthropic activities performed without expectations of monetary remuneration.
B) the activities provided to complement a tangible good, such as technical support for a computer.
C) the intangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value.
D) any activity required for the production of a good that cannot be completed "in-house" and must be outsourced to another firm.
E) the human (nonmechanical) component that is part of the manufacturing process.

Question 22

Which of the following is considered an idea?

A) a pen
B) pet food
C) teeth whitening
D) a marketing class
E) fitness

Question 23

Products that usually last over many uses, such as cars and appliances, are referred to as

A) endurable goods.
B) nondisposable goods.
C) imperishable goods.
D) reliable products.
E) durable goods.

Question 24

Which of these is considered a service?

A) hotel stay
B) trash bags
C) silverware
D) washing machine
E) freedom

Question 25

Personal selling is least important for which of these products?

A) headphones
B) coffeemaker
C) shampoo
D) hammock
E) watch

Question 26

Intangible activities or benefits that an organization provides to satisfy consumers' needs in exchange for money or something else of value are

A) services.
B) goods.
C) products.
D) marketing mix.
E) ideas.

Question 27

In marketing, an idea is

A) a thought that leads to a product or action.
B) an inspiration that evolved from market research.
C) an observation about a series of events.
D) a concept explaining the behavior of an individual or group.
E) an observation about an individual or group and how they use a service or product.

Question 28

Which of these is considered a durable good?

A) necklace
B) scone
C) movie tickets
D) staples
E) voting

Question 29

Which of these is considered a service?

A) a presidential candidate
B) a bicycle
C) a taco
D) a cab ride
E) environmentalism

Question 30

Which of the following statements about services is most accurate?

A) Services are classified as durable and nondurable.
B) The marketing of services is, in a practical sense, identical to the marketing of products or ideas since they both satisfy customer needs.
C) Only 10 percent of all jobs created in the United States are in the services sector.
D) Services are sometimes necessary to augment goods.
E) Services are among the easiest products to market because of their tangible nature.

Question 31

Intangible items such as music festivals, legal advice, or public transportation that an organization provides to consumers are referred to as

A) production goods.
B) support products.
C) services.
D) goods.
E) benefits.

Question 32

Products that are purchased by the ultimate consumer are

A) generic products.
B) end user goods.
C) personal items.
D) merchandise.
E) consumer products.

Question 33

Consumer products are

A) products used in the production of other items.
B) products purchased by the ultimate consumer.
C) products an industrial buyer will make an effort to seek out and buy.
D) items purchased frequently and with a minimum of shopping effort.
E) products that assist directly or indirectly in providing products for resale.

Question 34

Marketers of durable goods should emphasize which of these elements of the promotional mix?

A) sales promotion
B) personal selling
C) advertising
D) public relations
E) direct marketing

Question 35

Which of these would most likely be considered a consumer product?

A) auto lift
B) cotton fiber
C) printing press
D) suitcase
E) massage table

Question 36

Business products are

A) products organizations buy that assist in providing other products for resale.
B) supplies necessary for the day-to-day operations of a business.
C) ancillary services necessary for the operation of a business.
D) products that are sold exclusively to for-profit businesses.
E) products purchased by the ultimate consumer.

Question 37

Products organizations buy that assist in providing other products for resale are

A) reseller goods.
B) wholesale goods.
C) business products.
D) ancillary products.
E) retail products.

Question 38

Appliances and smartphones are classified as

A) reusable goods.
B) nondisposable goods.
C) imperishable goods.
D) reliable products.
E) durable goods.

Question 39

A durable good is

A) an item consumed in one or a few uses.
B) an item that usually lasts over many uses.
C) an item that lasts at least one year without becoming obsolete.
D) a product purchased only for the use of ultimate consumers.
E) a product used in the production of other products.

Question 40

In marketing, ________ is a thought that leads to a product or action.

A) an observation
B) an inspiration
C) an experiment
D) an idea
E) a perception

Question 41

Business products are also referred to as

A) B2B products.
B) B2C products.
C) B4B products.
D) BOB products.
E) B4C products.

Question 42

Business products are also referred to as

A) commodities.
B) industrial products.
C) wares.
D) resale products.
E) merchandise.

Question 43

You decide to buy a new car. You talk to friends about it, research mechanical specifications in Consumer Reports, test-drive different makes and models, and compare prices at several dealerships. Into which classification of consumer products would your new car purchase fall?

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

Question 44

Consumer products are classified into four categories based on the effort the consumer spends on the decision, the frequency of purchase, and the

A) amount of money the customer is willing and able to spend.
B) number of competing or substitute products.
C) demographics of the consumer.
D) attributes used in making the purchase decision.
E) consumer segmentation characteristics.

Question 45

With respect to price and availability, which type of consumer product would usually be very expensive and available in just a few locations?

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

Question 46

With respect to distribution, convenience products are available

A) at relatively few outlets.
B) at a large number of specialty outlets.
C) only online from the manufacturer.
D) only at convenience stores.
E) on a widespread basis at many outlets.

Question 47

With respect to price and availability, shopping products are likely to be

A) relatively inexpensive and widely available.
B) relatively inexpensive but very limited availability.
C) very expensive and available at a large number of selective outlets.
D) very expensive with very limited availability.
E) fairly expensive and available at a large number of selective outlets.

Question 48

Items for which the consumer compares several alternatives on several criteria such as price, quality, or style are ________ products.

A) specialty
B) selective
C) shopping
D) prestige
E) convenience

Question 49

In terms of promotion, which of the following consumer product types stresses product differentiation from competitors but not status?

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

Question 50

With respect to distribution, shopping products are available

A) by special order from the manufacturer only.
B) at an extremely small number of outlets.
C) at relatively few outlets.
D) at a large number of selective outlets.
E) on a widespread basis at many outlets.

Question 51

Which type of consumer product is often very expensive, purchased infrequently, and takes an extensive amount of time to make the purchase decision?

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

Question 52

Which of these is the best example of a convenience product?

A) Apple Airpods
B) Audi Q8 luxury automobile
C) flight on United Airlines
D) Roget's Thesaurus
E) Lay's Potato Chips

Question 53

Convenience products are

A) items that consumers will make special efforts to seek out and buy.
B) items for which consumers compare several alternatives on criteria such as price, quality, or style.
C) products consumers purchase frequently and with a minimum of shopping effort.
D) ancillary products used to make other products work more efficiently.
E) low-cost items for which there are numerous substitutes and generic equivalents.

Question 54

In terms of price, which type of consumer product would be relatively inexpensive?

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

Question 55

For shopping products, the consumer

A) purchases the items frequently, conveniently, and with a minimum of effort.
B) compares several alternatives on criteria such as price, quality, or style.
C) makes a special effort to search out the items and buy them.
D) does not know about the items or knows about them but does not initially buy them.
E) buys the items as a result of buying other consumer products, such as impulse purchases.

Question 56

An iMac personal computer from Apple can be classified according to all of these categories except which?

A) business product
B) nondurable good
C) B2B product
D) durable good
E) consumer product

Question 57

Which type of consumer product is purchased relatively infrequently and the purchase decision takes some time because the consumer compares offerings during the shopping experience?

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

Question 58

Specialty products are

A) products for which there are many substitutes.
B) products purchased for their prestige or high perceived value.
C) products a consumer will make a specific effort to search out and buy.
D) items for which the consumer compares several alternatives on several criteria such as price, quality, or style.
E) items that the consumer does not know about or knows about but does not initially buy.

Question 59

The promotion for which product type would stress price, availability, and awareness?

A) shopping
B) convenience
C) specialty
D) unsought
E) supply

Question 60

In terms of brand loyalty, consumers prefer specific brands but will accept substitutes for which type of consumer product?

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

Question 61

In terms of brand loyalty, consumers are very brand loyal and will not accept substitutes for which type of consumer product?

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

Question 62

Distribution is very limited and brand status is stressed in promoting which consumer product type?

A) shopping product
B) convenience product
C) discretionary product
D) prepurchase product
E) specialty product

Question 63

Fifty percent or more of American adults have not had their teeth checked by a dentist within the past five years. For these people, dental services would most likely be classified as

A) a shopping product.
B) a convenience product.
C) a specialty product.
D) an unsought product.
E) a business product.

Question 64

Which of the following best illustrates the concept of derived demand?

A) The number of retail stores in a downtown area decreases even though demand for retail goods increases.
B) An increase in the number of new, single-family homes results from a spike in the gross national product.
C) A Chinese plastics company decreases its output because of its customers' reduction in toy exports to the United States.
D) A heat wave results in an increased demand for air conditioners.
E) Honda reducing its car prices causes GM to do the same.

Question 65

Vivienne, a college student with limited financial resources, was considering the purchase of a new laptop. She visited several office supply and consumer electronics stores, searching for the lowest price on a reliable new laptop. She devoted a great deal of time and energy to getting the best value for her money. For Vivienne, a laptop was

A) a specialty product.
B) an unsought product.
C) a discretionary product.
D) a shopping product.
E) a convenience product.

Question 66

Figure 10-1

-According to Figure 10-1 above, column C would represent which type of product?

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

Question 67

A newly invented apple peeling and coring machine for the consumer market would be considered

A) a shopping product.
B) a convenience product.
C) a specialty product.
D) an unsought product.
E) a discretionary product.

Question 68

Burberry makes fine raincoats, clothing, and other items, many that feature the company's distinctive plaid. Originally found only in Great Britain, Burberry has opened a limited number of exclusive shops in leading cities around the world to reach customers who value its name and quality. Burberry is selling which classification of consumer product?

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

Question 69

Figure 10-1

-According to Figure 10-1 above, column A would represent which type of product?

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

Question 70

Unsought products are

A) any products associated with impulse buys at the supermarket checkout counter.
B) products that were once very popular but that have become obsolete because they are in the decline stage of their product life cycle.
C) items within a company's product line that do not perform as well as others in the line.
D) products that the consumer does not know about or knows about but does not initially want.
E) products that people choose to ignore because they find them offensive from a moral or ethical perspective.

Question 71

With respect to promotion, which of the following strategies would most likely be used for unsought products?

A) offering consumer and trade sales promotions
B) establishing the uniqueness and status of the brand
C) generating awareness
D) differentiating the brand from competitive brands
E) stressing price and availability in advertising

Question 72

Very infrequent purchases and limited distribution are characteristic of products that a prospective buyer may not initially want, which makes awareness essential. This type of consumer product is

A) an unsought product.
B) a shopping product.
C) a convenience product.
D) a specialty product.
E) a support product.

Question 73

In terms of promotion, which of the following consumer product types stresses status and brand uniqueness?

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

Question 74

You greatly admire a set of Waterford crystal serving bowls you see at a dinner party and decide to buy two despite their cost of $250 each. They are only available in your area in a Waterford shop 40 miles from campus. Into which classification of consumer products would the Waterford crystal serving bowls fall?

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

Question 75

Which of these is most likely to be an unsought product?

A) snow shovel
B) smartphone
C) gym membership
D) bracelet
E) burial insurance

Question 76

Which of these is most likely to be an unsought product?

A) Swagtron hoverboard
B) 5-hour Energy shot
C) flight on American Airlines to Phoenix
D) Roget's Thesaurus
E) Ivory soap

Question 77

Figure 10-1

-According to Figure 10-1 above, column D would represent which type of product?

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

Question 78

Figure 10-1

-According to Figure 10-1 above, column B would represent which type of product?

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

Question 79

Considering the classification of consumer products, which of the following products will have the most limited distribution?

A) Secret antiperspirant
B) Fuji disposable camera
C) BP gasoline
D) Marchesa wedding gown
E) Sony HDTV

Question 80

The demand for a business product that results from the demand for a consumer product is referred to as ________ demand.

A) sequential
B) selective
C) primary
D) secondary
E) derived