Exam 2 Marketing

Which of the following statements about buying centers is true?

The buying center is not a fixed and formally identified unit within a buying organization.

When marketers want to promote their products and services through work-of-mouth marketing programs, they typically begin by [blank].

generating person-to-person brand conversations

Major appliances, furniture, and clothing are typical examples of ______ products.

shopping

The use of traditional business marketing concepts and tools to create behaviors that will benefit individual and societal well-being is called ________ marketing.

social

_________ products are consumer products and services with unique characteristics or brand identifications for which a significant group of buyers is willing to make more effort than usual to purchase.

specialty

Susan has been redecorating her new condo for a year. She is carefully selecting every item. Susan finds an oriental rug that matches her color scheme and décor perfectly and purchases it immediately without engaging in comparison shopping. This is an example of a(n) _________.

specialty product

Business advisory services such as legal or advertising are classified under which category of industrial products?

supplies and services

Under a ______ new product development approach, company departments work closely together in cross-functional groups, overlapping the steps in the product development process to save time and increase effectiveness.

team-based

________ is the stage where a product and its proposed marketing program are introduced into realistic market settings.

test marketing

Markets can be segmented into groups of nonusers, ex-users, potential users, first-time users, and regular users of a product. This method of segmentation is called ______.

user status segmentation

In which of the following cases is little or no test marketing most likely recommended for a new product?

when the costs of developing and introducing the product are low

A _______ is defined as a name, term, sign, symbol, or design, or a combination of these, that identifies the maker or seller of a product or service.

brand

An innovation management system would most likely be used by _______.

brand managers to collect, review, and evaluate new product ideas

Which of the following costs is most likely associated with commercialization?

building or renting a manufacturing facility

______ involves a review of the sales, costs, and profit projections for a new product to determine whether they satisfy a company's objectives.

business analysis

Which of the following types of differentiation is used to gain competitive advantage through the way a firm designs its distribution coverage, expertise, and performance?

channel differentiation

Introducing a new product into the market is called _____.

commercialization

Electric cars are not considerably different or difficult to drive relative to gas-powered cars. However, this is not aligned with the perceptions or conceptual concerns held by the public about the new technology. This will likely slow the adoption rate due to the ________ of the innovation.

complexity

Unlike other car rental agencies that are based in airports to serve travelers, Rental Wheelz has a network of neighborhood offices. The firm strives to serve people who need car rentals for reasons other than vacation, such as when their own cars are being repaired. Rental Wheelz caters to a small share of the large car rental market. From this description, it can be concluded that Rental Wheelz most likely practices ______.

concentrated marketing

The stage in which product ideas are presented to groups of target consumers physically or symbolically is referred to as ______.

concept testing

Laundry detergent, candy, magazines, and fast food are purchased frequently by customers. They are examples of ________ products.

convenience

In terms of packaging functions, Tiffany & Co.'s robin egg blue boxes ________.

crate immediate consumer recognition

Kallton is a multinational communications and information technology corporation. Its principal products are mobile telephones and tablets. It recently announced on its Web site that customers can suggest ideas for its upcoming product model. Contributors of short-listed ideas will be adequately rewarded. In this case, Kallton is using ______ to generate new product ideas.

crowdsourcing

Sleek Designs Inc. is producing its first eReader. The company is striving to overcome some of the issues communicated by customers about competitive products including screen glare and product bulkiness. Sleek Designs Inc. is using a ______ approach in their new product development process.

customer-centered

Which of the following statements is most likely true about the new product development process?

customers, competitors, distributors, and suppliers are major sources of new product ideas

Lilly's, a furniture retailer, sells low-end furniture and accent pieces that are targeted toward lower-income consumer groups. Lilly's most likely segments the consumer market based on _____ variables.

demographic

If men and women respond dissimilarly to the marketing efforts for a root beer-flavored malt beverage, they are considered ______ market segments.

differentiable

Port Orleans Shipping markets different services to the tourism, defense, and trade segments. The firm designs separate offers for each segment based on their needs. This approach is called ________ marketing.

differentiated

Which of the following statements is most likely true about the product life cycle?

growth is a period of rapid market acceptance and increasing profits

A product line is most likely too long if managers can ______.

increase profits by dropping items

Becca wants to buy a new coat. She asks her friends to recommend a store and/or style of coat. She looks for sale advertisements for coats in newspapers and also visits nearby stores to check if she can find a coat in her budget. In this case, Becca is most likely in the __________ stage of the buyer decision process.

information search

A doctor performing hip surgery on a patient illustrates how a service can be produced and consumed simultaneously. This is an example of which service characteristic?

inseparability

Orienting and motivating customer-contact employees and supporting service people to work as a team to provide customer satisfaction is known as ______ marketing.

internal

________ are tradition-bound, suspicious of changes, and adopt an innovation only when it has become something of a tradition itself.

lagging adopters

Which of the following is the right order of the steps that companies generally follow in designing a customer-driven marketing strategy?

market segmentation, market targeting, differentiation, and positioning

When Goodyear sells replacement tires to final consumers, its potential market includes millions of car owners around the world. But its fate in business markets depends on getting orders from only a handful of large automakers. This represents the difference in ________ between business and consumer markets.

market structure

When a company interacts one-on-one with large numbers of customers to create customer-unique value by designing products and services tailor-made to individual needs, it is engaging in ________.

mass customization

Marketing the same product to a huge customer base without any customization is referred to as _________.

mass marketing

When a product is in the _____ stage, profits level off or decline because of increased marketing outlays to defend the product against competition.

maturity

A business buyer is considering a change in product specifications, terms, and possibly suppliers. This buying situation is referred to as a(n) __________.

modified rebuy

Appliances Galore is continually updating its line of refrigerators to reflect market trends and customer needs. Although the product class is in the maturity stage of the product life cycle, they maintain healthy sales of their line of refrigerators by continually _______.

modifying the product

Which of the following strategies is most likely to be followed by firms that position themselves as caterers of the best products at economical prices?

more for less

A baby boomer decides to purchase a BMW to impress others with her success. This illustrates the importance of understanding the role of ___________ in the marketing process.

motive

Argonaut Food Stores, a retail giant, hires better-skilled employees than its competitors by employing strategic recruitment practices. It also conducts highly specialized training programs for its employees. In this case, Argonaut has focused on gaining a strong competitive advantage through _________ differentiation.

people

The most effective sources of information about a product rend to be _______.

personal

Company and brand positioning should be summed up in a _______.

positioning statement

Simone bought two bottles of wine from two vineyards in Bordeaux. When asked for an opinion on the quality of the wines, she later mentioned that the Pontent Canet tasted like alcoholic grape juice, but the Chateau Margaux had a crisp taste that she really enjoyed. Which of the following stages of the buyer decision process do Simone's remarks reflect?

post purchase behavior

Fred's, a national supermarket chain, sells its own brand of items across all categories. Such items are considered _____ brands.

private

Harper Farms raises chickens. For years, it has used wooden coops for hauling its poultry to market. When the owner, Jane Harper, went to reuse some of her coops, she noticed many of them could not be sufficiently cleaned for reuse and needed to be replaced. Which stage of the business buying decision process was Harper in when she decided to replace her old coops?

problem recognition

Which of the following is the means by which companies post purchase requests online and invite suppliers to bid for their business?

reverse auctions

Which of the following is true about the introduction stage of a new product?

sales growth tends to be slow

Many marketers now embrace a [blank] strategy, integrating ethnic and cross-cultural perspectives within their mainstream marketing.

total market