MKT 230 Exam 2 Ch. 7-13

For which of the following products would a consumer most likely use limited decision making?

Hair dryer

R.J. Reynolds markets several brands of cigarettes, including Vantage, Camel, Winston, and Salem. This is an example of which type of branding policy?

Individual

Which one of the following countries will not be included in the data presented in the new industry classification system that is replacing the SIC?

Japan

Business products are classified into the following seven categories according to characteristics and intended uses: raw materials, installations, accessory equipment, component parts, process materials, business services, and

MRO supplies

Many manufacturers that produce their own brand

also produce products for private distributer brands

Ryan is on his way to work when he realizes he has a flat tire. He swings into Sam's Club and has a new tire installed. Ryan's purchase of a new tire in this situation is considered to be

an unsought good

The three major reference groups are:

aspirational, disassociative, and membership

Cognitive, affective, and behavioral are the three major components of

attitudes

All of the following are marketer-dominated sources of information except

friends

Barry Gluckman of WP International, a major marketer of word-processing software, calls the secretary of Renee Dorchette, director of purchasing for MMK, Inc. He sets up an appointment to discuss an upcoming purchase of software. The secretary plays the role of ___________ in this purchase decision.

gatekeeper

Safeway Supermarkets recently placed an order with the Kahn Corporation for hotdogs. The typical weekly order is for 10 cases; however, since the upcoming weekend includes a holiday, this time Safeway is ordering 100 cases of hotdogs. Safeway orders this product on a regular basis. What type of purchase does this week's purchase represent?

modified rebuy

Twin-packs and six-packs are examples of

multiple packaging

Service industries account for ________ of the gross domestic product of most developed nations

nearly three-quarters

During the introduction stage of the successful product, profits are usually

negative and increasing

When service companies change high-contact services into low-contact services, the

service becomes less personalized

The continuum of tangibility goes from _______ on one end to ______ on the other end

service-dominant products; good-dominant products

All of following are elements of the inseparability characteristic of services except that

services are easy to standardize and control

The three major categories of influences on consumer buying decision process are:

situational influences, social influences, and psychological influences

Our society uses many factors, including occupation, educational level, income, wealth, religion, race, ethnic group, and possessions, to group people into

social classes

An organization that decides to buy all of a certain part from the same company is using

sole sourcing

Volkswagen purchases upholstery for the interiors of its vehicles from various suppliers. This upholstery must have a set of characteristics that is expressed by Volkswagen. This set is called

specifications

When Minute Maid mailed out free samples of its new instant drink mix, it was trying to move prospective customers into the ___________ stage of the product adoption process.

trial

During the search for products and evaluating possible suppliers stage of the business buying decision process, marketers sometimes use ____ analysis to examine the quality, design, materials, and possibly item reduction in order to acquire the product in the most cost-effective way.

value

During the growth stage of the product life cycle, marketers must

fortify the product position

Joe is an athlete who plays a variety of sports that all require various athletic shoes. He has a favorable attitude toward Nike shoes. This favorable attitude is called brand

loyalty

Craftsmen tools, sold and branded by Sears, is an example of a ________ brand

private distributer

Why are line extensions more common than new products?

They are less expensive and lower-risk

A Lenovo laptop that has an "intel" logo on its keyboard is an example of

co-branding

Which of the following products is most likely to be purchased on the basis of contract negotiation?

A custom-made bulldozer

Which of the following is the best example of a functional modification?

A smoke alarm is modified to be more sensitive to smoke at farther distances

Which of the following is the fastest growing, most affluent subculture in the United States?

Asian Americans

What is the primary difference between business and consumer buyers?

Business buyers generally make larger orders than consumer buyers

Dannon Yogurt represents what type of product for most consumers?

Convenience

As Lisa eats her morning bowl of Golden Grahams cereal, she reads about the calories, fats, carbohydrates, and vitamins she is ingesting. This information is required by the

Nutrition Labeling Act

Which of the following statements about business buying is false?

Orders in business markets tend to be smaller than those placed in consumer markets

Which of the following consumer decision-making processes will probably be used in purchasing toothpaste?

Routinized response behavior

Shannon Hill needed to buy an airline ticket to visit her parents. She called several airlines to compare rates and chose a flight on Southwest Air Lines because, for comparable prices, it had a better reputation for service. For Shannon, this flight is an example of which type of product?

Shopping

Which of the following products is an example of a manufacturer brand?

Sony TVs

Which of the following is the best definition of product features?

Specific design characteristics that allow a product to perform certain tasks

Select the true statement concerning test marketing

Test marketing is a limited interaction of the product in areas chosen to represent the intended market

What should marketers do to promote the consistency and reliability of their services most effectively?

Train employees and develop standard procedures for dealing with customers

Which of the following best illustrates how a firm an use a symbol to make an intangible product more tangible?

Traveler's Insurance umbrella

A product line is defined as

a group of closely related products that are considered a unit because of marketing, technical, or end-use considerations.

Changing people's attitudes toward a firm and its marketing program is

a long, expensive, and difficult task that may require extensive advertising campaigns

Inelastic demand simply means that

a price increase or decrease will not significantly change the damage of an item

Which of the following is similar for both for-profit and nonprofit marketing?

ability to use effective marketing activities

The three major ways to modify a product include

aesthetic, quality, and functional changes

Morgan is interested in upgrading to a new sofa for her apartment. Morgan looks online to see what new models her favorite sofa brand has available and can get information on the style and color; however, she can't actually sit on the sofa to determine its comfort level. Morgan is able to evaluate the __________ modifications to the sofa, but not the __________ .

aesthetic; functional

Problem recognition occurs when consumer

becomes aware that there is a difference between a desired state and an actual condition

If Ralph Lauren, a designer of fine clothing, authorized Dan River Mills to market a line of sheets under the Ralph Lauren name - this arrangement is an example of

brand licensing

McDonald's Golden Arches are a classic example of

brand mark

Kleenex Boutique is a brand ___________ of tissues made by the Kimberly-Clark Corporation.

brand name

In the United States, toothpaste is sold in tubes and ketchup is sold in plastic bottles. However, in other parts of the world, ketchup and tomato paste are also sold in tubes. If Heinz were to introduce ketchup in tubes in the United States, consumers might have a more difficult time recognizing the ketchup product due to the change in the __________________ .

category-consisted packaging

Business products are

classified according to their characteristics and intended uses.

One disadvantage of test marketing a new product is that

competitors may copy the product

All packaging must at a minimum

comply with the FDA's packaging regulations

The phase of new-product development in which a small sample of potential buyers are presented with a product idea through a written or oral description in order to determine their attitudes and initial buying intentions regarding the product is called

concept testing

Brand name awareness is an important element of brand equity because a familiar brand is more likely to be in a consumer's _____ than an unfamiliar brand

consideration set

To differentiate their products, companies sometimes emphasize the product support services that they offer. This is especially true when

consumer perceive all products in a market to have essentially the same quality, design, and features

Who judges service quality?

customers

The spray bottle for Windex Glass Cleaner could be considered a secondary-use package because

customers can reuse it for other purposes

The stage of product life cycle when marketers consider eliminating products that are not contributing to profitability or the overall effectiveness of a product mix is the ______ stage.

decline

In general, differences between goods and services are determined by the

degree of tangibility

Procter & Gamble makes at least eight different laundry detergents. This is most relevant to the issue of

depth of product mix

Which of the following should be the lease important concern for marketers when selecting a brand name?

developing an advertising campaign to introduce the name

The members of a venture team (sometimes referred to as a cross-functional team) come from

different functional areas of the organization

The marketing channels for services are usually

direct from provided to customers

After purchasing a product, post purchase evaluation may result in cognitive dissonance. Cognitive dissonance is

doubts that occur because the buyer questions whether the decision to purchase the product was right

Sales usually start to decline during the _______ stage of the product life cycle.

end of maturity

All of the following are major steps in developing new products except

evaluation of competitor's efforts

A customer shopping for a fax machine tells a salesperson that it is important for the fax machine to have several attributes. It must use plain paper, be able to make copies, be compatible with all other fax machines, and not require a separate phone line. The buyer has expressed his or her

evaluative criteria

A group of brands that a consumer views as alternatives for possible purchase is a called a(n)

evoked set

A run-out policy of product deletion

exploits any strengths left in the product

Lysol Basin, Tub, and Tile Cleaner and Lysol Disinfectant Spray exemplify

family branding

In which stage of the product life cycle to profits begin to decrease?

growth

When a product experiences an increase in the number of competitors it is usually in the _______ stage of the product life cycle; however, when that competition becomes intense it is in the ______ stage.

growth; maturity

Nathan recently purchased a floor lamp from Wal-Mart. The floor lamp came in a compact cardboard box and assembly was required. This is an example of _____ packaging.

handling-improved

Compared with consumer goods, marketers aiming at business customers

have an enormous amount of information available concerning potential customers

Because of service's ________, standardization and quality are difficult to control.

heterogeneity

Services have basic characteristics: Intangibility, inseparability of production and consumption, perishability, client-based relationships, customer contact, and

heterogeneity

MADD (Mothers Against Drunk Driving) is a nonprofit organization that primarily markets

ideas

According to Maslow's hierarchy of needs,

individuals first satisfy the most basic needs and then try to fulfill needs at the next level up.

Demand for a business product is also known as __________ demand

industrial

When Jiffy-Pop packaged its popcorn in an aluminum skillet, complete with attachable handle, it designed the package to become the cooking utensil. After cooking, the handle was removed and the package became the popcorn bowl. Jiffy-Pop's popcorn in this case is an example of _____ packaging.

innovative

Depending on the length of time it takes them to adopt a new product, people can be divided into five major adopter categories: early adopters, early majority, late majority, laggards, and

innovators

A customer must have a particular brand and will accept no substitutes. This is termed brand

insistence

Flo, the spokesperson in Progressive Insurance TV commercials, is used to symbolize friendliness, reliability, and knowledge of the company's products. The part Flo plays in the promotion is designed to address the ____ characteristic of services.

intangibility

Assignment of meaning to organized information inputs is called

interpretation

The four major stages of product life cycle include

introduction, growth, maturity, and decline

Demand for a business product is _________ when two or more items are used in combination to produce a product

joint

A major determining factor in deciding which type of decision-making process should be used depends on the individual's intensity of interest in a product and the importance of the product for that person. This is known as an individual's

level of involvement

Coca-Cola has expanded to Diet Coke, Cherry Coke, and Caffeine-free Coke, to name a few. These are examples of

line extensions

The width of a product mix is measured by the number of product

lines a company offers

Product deletion can best be described as the process of deleting a product from the product mix when it

no longer satisfies a sufficient number of customers

An attitude is

one's evaluation, feelings, and behavioral tendencies toward an object or idea.

As Brianna walks to classes, she selects, organizes, and interprets the sensations she is receiving through her sense organs. Brianna is experiencing the process of

perception

A brand manager in a multiproduct firm would be responsible for

performance of a specific brand

Demand-based pricing most closely relates to the ______ of services

perishability

Individual influencing factors refer to

personal characteristics of individuals in the buying center

Product specifications are best described as

physical characteristics and level of quality

Business markets are typically divided into four categories. These categories are

producer, reseller, government, and institutional

Schwinn has developed a new bicycle that has the strongest and lightest-weight frame of any bicycle outside of those made for racing. In addition, Schwinn has added several new features to its bike that are attractive to individuals who work as "bike messengers" in large, urban cities. Since no other company makes a bike that has these specific attributes, Schwinn is creating

product differentiation

Three major ways in which marketers engage in product differentiation are

product quality, product design and features, and product support services

In an attempt to attract customers, service marketers often promise great results and satisfaction to customers, but marketers should be careful not to

promise too much and cause customer expectations to be beyond what they can deliver

The development of a person's self-concept is a function of

psychological and social factor

Because practically all marketers provide some services, ___________ typically do not exist in today's business environment.

pure goods

Minerals, chemicals, timber, and agricultural products are considered

raw materials

Bob Denton of Denton Pest Control buys equipment from Allied Tools because Allied hires him to spray its warehouse for insects periodically. This practice is an example of

reciprocity

The three purposes for which individuals or groups can use products in order for it to be considered a business market are

resale, use in daily operations, and direct use in producing other products

A new variety of Doritos is initially introduced in Ft. Worth, Texas; Columbia, South Carolina; Peoria, Illinois; and Spokane, Washington. After its initial success, Frito Lay markets the Doritos in those entire states, then the adjacent states, and finally the entire country. Frito-Lay is using a _____ for its new variety of Doritos.

roll-out approach

Tara finds evaluating a new pair of jeans much easier than evaluating tennis lessons because she can try on the jeans to see exactly how they feel and fit. In other words, the jeans have many _____ qualities.

search

Antonio is planning a trip to Cancun for spring break. He will likely be able to evaluate the hotel's size, amenities offered, and prices by looking at information on its website. However, he won't be able to evaluate the comfort level of the bed or the friendliness of the employees until he actually spends time at the hotel. The type of evaluation attributes Antonio is using before his trip are called _____________ and those he uses during the trip are called ______________ .

search; experience

The United States Navy purchases uniforms from a single supplier. For the last twenty-five years, the trousers purchased from this supplier have not changed and have been bought every six months, in seven different sizes. This example is called a

straight rebuy

A service is usually offered as part of a bundled package of services with a core service and one or more ________ services.

supplementary

The major drawback to using aesthetic modification is

that the value of the modification is determined subjectively

The group of people within a business who are involved in making business buying decisions is referred to as

the buying center

In most service industries, customer-contact employees are

the lowest-paid and least-trained employees

In product modification, the first issue to consider is whether

the product is modifiable

Just Relax Massage Therapists have a large customer base although they do very little advertising. Their promotion strategy relies mostly on

word of mouth

In the consumer buying decision process, the information search stage

yields a group of brands that a buyer views as possible alternatives