Marketing

Thinking about the adoption and diffusion of new products, "early majority" and "late majority" each account for about _______ percent of adopters. A. 13.5 B. 16 C. 2.5 D. 34

D. 34

Which VALS segment is associated with self-expression, high resources, and high innovation: A. Survivors B. Believers C. Thinkers D. Experiencers E. Strivers

D. Experiencers

Which of the following is an alternative term for CPG ("Consumer Packaged Goods"): A. AIOs B. VALS C. NPD D. FMCG E. NIACS

D. FMCG

Several well-known CPG brands, including Aunt Jemima (pancake mix), Uncle Ben's (rice), and Mrs. Butterworth's (syrup) were mentioned in Chapter 9 in conjunction with: A. Ensuring that their products do not contain contaminants. B. Concern over sustainability. C. The move towards healthier, better-for-you eating. D. Marketing responses to social justice issues. E. The need to leverage social media to attract Millennial and Gen Z shoppers.

D. Marketing responses to social justice issues.

The three types of innovation discussed in Chapter 8 are "continuous innovation," "dynamically continuous innovation," and "________ innovation."

Discountinuous

Which of the following statements best represents the key points in the "Helen of Troy" case: A. Hydro Flask water bottles offer users both function and aesthetic value. B. The popularity of water bottles such as Hydro Flask can be related to the most basic level of Maslow's hierarchy C. Thinking of competition in the macro environment, the industry structure in the water bottle business is best described as "monopolistic competition." D. At the brand competition level in the micro-environment, consumers have many choices when it comes to branded water bottles. E. All of the above statements reflect key issues in the case.

E. All of the above statements reflect key issues in the case.

Which of the following broad economic trends can affect the success of a company's pricing strategy: A. Inflation B. Economic growth C. Consumer confidence D. The business cycle E. All of the above.

E. All of the above.

Thinking about pricing objectives and psychological issues in setting prices, which of the following terms, if any, is not consistent with the others: A. Image enhancement objective B. Premium pricing C. Prestige pricing D. Status-conscious consumers E. All of these terms are consistent with each other

E. All of these terms are consistent with each other

The "80/20 rule" is relevant to which of the following segmentation variables: A. Geographic B. Income and social class C. Family life cycle D. Psychographic E. Behavior

E. Behavior

Which of the following aspects of product quality pertains to the notion of aesthetics: A. Ease of use B. Precision C. Durable D. Product safety E. Degree of pleasure

E. Degree of pleasure

What does the "M" stand for in DMAIC: A. Millennial B. Mass C. Market D. Metrics E. Measure

E. Measure

We have mentioned two retail chains, Costco and Aldi, in conjunction with a discussion of __________ brands. (Hint: We've also cited Trader Joe's as a similar example). A. Brand extension B. Co-branding C. Generic D. National E. Private-label

E. Private-label

The acronym "R&D" stands for: A. Recycled and Durable B. Retro & Differentiated C. Risk & Design D. Retail & Discount E. Research & Development

E. Research & Development

Which of the following is NOT considered to be a demographic variable: A. Ethnic group B. Education C. Age D. Income E. Gender F. Activities

F. Activities

Which of the following British Invasion bands, if any, sued Apple Computer to prevent it from using the Apple logo as part of the iTunes store branding? A. The Rolling Stones B. The Who C. The Kinks D. The Zombies E. The Animals F. None of the above.

F. None of the above.

The UPC is an important element of packaging and labeling. It stands for Universal _______ Code.

Product

It is easy to find examples of key marketing concepts in lots of different places. Consider, for example, the following restaurant review: "Nothing could have prepared me for a thin slice of grilled sourdough and a mount of rabbit, pork, and foie gras rillettes, beaten to a smooth, almost parfait consistency. It seems counter-intuitive to mix three ingredients usually served as exemplars of single pure flavors but this combination is truly greater than the sum of its parts" What concept is at work here?

Synergy

Choose the law that is relevant to each marketing issues 1. Which law pertains to price fixing and collusion 2. Which law pertains to intellectual property rights 3. Which law pertains to price fixing a. Robinson-Patman Act b. Sherman Antitrust Act c. Lanham Act

1 —> B; 2 —> C; 3 —> A

As we have discussed, Elon Musk's efforts to revolutionize the automobile industry have really paid off. Hertz just ordered 100,000 vehicles! However, just a couple of years ago, efforts to ramp up production of the $35,000 Tesla Model 3 were hampered by quality issues. Musk announced that, in an effort to cut costs, all 100 of Tesla's U.S. showrooms would be closed and that the company would move to an online-only sales model. This move was designed to bring down the quantity of Model 3 cars the company needed to sell to break even on them. Thinking about the closing of the retail locations (and the resultant savings in lease, insurance, utilities, and similar costs), which kind of costs is Musk targeting: A. Fixed costs B. Variable costs

A. Fixed costs

Which of the following demographic groups is characterized in our text as "digital natives": A. Generation Z B. Generation X C. Generation Y D. Baby Boomers

A. Generation Z

At which stage of the product life cycle (PLC) are profits negative: A. Introduction B. Growth C. Maturity D. Decline

A. Introduction

Which of the following states the reason for the success of Modelo Especial beer in the United States: A. It has been embraced both by Hispanic Americans proud of their heritage and by the mass market, including non-Hispanic Millennials, who are open to trying new things. B. It has been embraced primarily by Hispanic Americans proud of their heritage. The mass market, including non-Hispanic Millennials, are not open to trying new things. C. It has been embraced by the mass market, including non-Hispanic Millennials, who are open to trying new things. However, Hispanic Americans are not heavy adopters because they ignore marketing appeals that speak to their heritage.

A. It has been embraced by both Hispanic Americans proud of their heritage and by the mass market, including non-Hispanic Millennials, who are open to trying new things.

In the Chapter 8 section titled "Market Test," the authors describe how Procter and Gamble (P&G) continually sabotaged another company's efforts to test a new product. What was the competitor's product? A. Mouthwash B. Toothpaste C. Shampoo D. Disposable detergent E. Laundry Detergent

A. Mouthwash

In the Chapter 9 opening case, which client is Aaron Keller of the Capsule brand consultancy working with? A. Patagonia B. North Face C. Columbia D. Arc'teryx

A. Patagonia

Thinking about the various aspects of product quality, which of the following is highlighted in Chapter 9 as being integral to McDonald's business model: A. Reliable B. Degree of pleasure C. Precision D. Versatile E. Durable

A. Reliable

Convenience goods are typically nondurable goods. A. True B. False

A. True

The SC Johnson Company, headquartered in Racine, Wisconsin, markets a variety of products including Pledge furniture wax, Windex window cleaner, Raid insecticide, Glade air freshener, and a host of other household brands. By definition, these are all manufacturer brands. A. True B. False

A. True

A firm's cost can be divided into fixed costs and ________ costs: A. Variable B. Value C. Variety D. Volatile E. Virtual

A. Variable

What is the relationship, if any, between "brand meaning" and "brand equity?" A. "Brand meaning" and "Brand equity" mean the same thing. B. "Brand meaning" is based on bonds that encompass a consumer's beliefs and associations about the brand; "brand equity" is a source of competitive advantage because the brand's superior perceived value creates consumer loyalty. C. "Brand equity" is based on bonds that encompass a consumer's beliefs and associations about the brand; "brand meaning" is a source of competitive advantage because the brand's superior perceived value creates consumer loyalty.

B. "Brand meaning" is based on bonds that encompass a consumer's beliefs and associations about the brand; "brand equity" is a source of competitive advantage because the brand's superior perceived value creates consumer loyalty.

Marketers and economists use the term "disposable income" when referring to money spent on nondurable goods that are discarded, such as paper towels, disposable diapers, etc. A. True B. False

B. False

Quaker Foods, maker of Quaker Oats cereal, is one of the "Billion-dollar brands" in the portfolio of parent company Pepsico. True or false: No other company besides Quaker can use the word "Quaker" in its branding. A. True B. False

B. False

Thinking about "objectives and strategies for individual products," the key to the successful launch of the MINI Cooper was a creative TV advertising campaign that cost several million dollars: A. True B. False

B. False

Consumer packaged-goods powerhouse Procter & Gamble can be used to illustrate a variety of Chapter 9 concepts, including product and brand management, product lines, product mix, and brand extensions. Which of the following brands is "P&G's first new hand dish soap brand in 40 years?" A. Ivory B. Gain C. Joy D. Dawn

B. Gain

Which of the following statements accurately reflects the discussion about Procter and Gamble: A. P&G has pursued a filling out strategy by adding a number of food and beauty brands to its product mix. B. P&G has pursued a contraction strategy by divesting a number of food and beauty brands in order to trim its product mix

B. P&G has pursued a contraction strategy by divesting a number of food and beauty brands in order to trim its product mix

For which type of product (normal or prestige) does the demand curve take the form of a curved line, as opposed to a straight line: A. Normal product B. Prestige product C. Either normal product of prestige product D. By definition, demand curves are always curved lines

B. Prestige product

At which stage of the new product development process do marketers make estimations of technical success (e.g., can we product it?) and commercial success (e.g., will people buy it?): A. Step 1 - Idea Generation B. Step 2 - Product Concept Development and Screening C. Step 3 - Marketing Strategy Development D. Step 4 - Business Analysis E. Step 5 - Technical Development F. Step 6 - Test Marketing G. Step 7 - Commercialization

B. Step 2 - Product Concept Development and Screening

Suppose you are in the market for an EV (electric vehicle). You go to the Tesla Web site, and you see the Tesla Model 3 ($35,000 manufacturers suggested retail price) displayed side-by-side with a Nissan Leaf ($29,000 MRSP). You think, "The Nissan is probably not as good a car as a Tesla. I think I'll spend five grand more for the Tesla." In terms of consumers' perceptions of price, which concept is evident here: A. Contrast effect B. Assimilation effect

A. Contrast effect

Everybody is familiar with Kraft, maker of popular foods such as Kraft Mac & Cheese and Cheese Whiz. And, of course, we all know Heinz, make of Heinz Tomato Ketchup and other household staples. In 2015, Kraft and Heinz merged. Omaha-based billionaire investor Warren Buffet owns a significant share of the new entity, KraftHeinz. In pursuit of higher profits, KraftHeinz raised prices on its popular Capri Sun fruit drinks by 25 percent. Price-sensitive shoppers stopped buying Capri, opting instead for private-label fruit drinks. Which of the following pricing concepts explains this situation: A. When it came to the decision of whether to buy Capri fruit drinks, consumers were exhibiting inelastic demand curves. B. When it came to the decision of whether to buy Capri fruit drinks, consumers were exhibiting elastic demand curves.

B. When it came to the decision of whether to buy Capri fruit drinks, consumers were exhibiting elastic demand curves.

The point at which a firm's total revenue and total costs are equal is called the ___________ point:

Break-even

Our authors define "Generation Y" as those persons born between 1979 and: A. 1992 B. 1993 C. 1994 D. 1995 E. 1996

C. 1994

Supporting features such as a warranty, credit, and service after the sale are all part of the: A. Actual product B. Core product C. Augmented product

C. Augmented product

As you may know, Elon Musk's Tesla is a pioneer in the electric vehicle category. The company's first (and for many years, only) vehicle, the Model S sedan, costs $80,000 and was designed to appeal to affluent eco-conscious consumers. What kind of targeting/segmenting strategy was evident in Tesla's early days: A. Undifferentiated marketing B. Differentiated marketing C. Concentrated marketing D. Customized marketing

C. Concentrated marketing

Suppose a customer has an emotional "bond" with a brand such that there is a true relationship. Which type of relationship describes how the product or brand - Starbucks, for example - is a part of the user's daily routine? A. Nostalgic attachment B. Love C. Interdependence D. Self-concept attachment

C. Interdependence

Which of the following is the largest ethnic segment in the United States: A. African Americans B. Asian Americans C. Latino/a Americans

C. Latino/a Americans

Which of the following most accurately reflects the text discussion of pricing in the introductory phase of the product life cycle (PLC): A. Pricing will be high ("Skimming") to recover R&D costs. B. Pricing will be low ("Penetration") to attract a large number of buyers. C. Managers may choose either pricing option, depending on their company's strategic goals

C. Managers may choose either pricing option, depending on their company's strategic goals.

On p. 1 of the Chapter 10 Study Guide, there is a brief case study of SCARPA, an Italian athletic shoe manufacturer. This material is not in the textbook. However, it offers a real-life example of a key concept discussed in Chapter 10. What is the concept? A. Captive pricing B. Cost-of-goods-sold costing C. Target costing D. Break-even pricing E. Odd-even pricing

C. Target costing

As noted on your Chapter 7 Study Guide, one approach to segmentation embraces the notion that "the future of business is selling less of more." What concept is at work here? A. Undifferentiated targeting strategy B. The 80/20 rule C. The long tail D. GIS

C. The long tail

Which targeting strategy, if successful, can help company achieve economies of scale by service a homogenous mass market in which consumer wants and needs are similar: A. Differentiated marketing B. Customized marketing C. Undifferentiated marketing D. PRIZM marketing E. Concentrated marketing

C. Undifferentiated marketing

A ______ is the legal term for a registered brand name of brand mark.

Trademark

As defined in Chapter 8, _______ is "the process by which an organization creates worth through collaborative participation by customers and other stakeholders in the new product development process."

Value co-creation