MKTG311_CH13_TF
A brand mark is defined as a part of a brand that can be spoken.
False
A market development strategy concentrates on developing new products for existing markets.
False
A product development strategy concentrates on finding new markets for existing products.
False
A product that has attained a monopoly position with its consumers is in the brand preference stage of brand loyalty.
False
Brand extension is the strategy of developing individual offerings that appeal to different market segments while remaining closely related to the existing product line.
False
Brand insistence is a company's first objective for newly introduced products.
False
Brand names should contain words or phrases in general use, so that it is easier for the consumers to pronounce, recognize and remember the brand names.
False
Brand recognition is the ultimate stage in brand loyalty that leads consumers to refuse alternatives and search extensively for the desired merchandise.
False
Cannibalization is the loss of sales of an existing product due to competition from a new product introduced into the market by a competing firm.
False
Companies that offer mass-marketed goods and services are more likely to achieve monopoly position with their customers compared to those companies that manufacture luxury products.
False
Compared to first adopters, later adopters rely more heavily on impersonal information sources while purchasing new products.
False
Consumer innovators are individuals who rely on the experiences of initial buyers before making trial purchases.
False
Family brands are the most effective aids in implementing market segmentation strategies.
False
Family brands cost more than individual brands to market.
False
Firms can receive trademark protection only for the brand name and brand mark and not for the product features or packaging elements.
False
In the awareness phase of the consumer adoption process, consumers make a trial purchase of an item to determine its usefulness.
False
Josh usually buys one brand of orange juice but, occasionally, will buy a competitive brand if it's on sale. Josh is exhibiting brand insistence.
False
Karen prefers to buy Clemtec's cleaning products over other brands if they are easily available in the market. Karen is in the brand insistence stage of brand loyalty.
False
Line extension is the strategy of attaching unrelated products to a known brand name to gain instant recognition for the new offerings.
False
Makers of generic products are dependent on brand loyalty for their marketing success.
False
Marketers opt for family brand names to distinguish dissimilar products.
False
Merrill Lynch's bull logo cannot be considered a part of the product's trade dress.
False
Patients cannot sue a pharmaceutical company over the alleged defects of its products, if the FDA has approved the use of the medication.
False
Private labels typically provide better profit margins than captive brands.
False
Product managers have profit responsibility for their product group and help the retailer's category buyer maximize sales for the whole category, not just the particular manufacturer's product.
False
The "brand relevance" dimension of the brand personality refers to a brand's ability to stand apart from its competitors.
False
The number of product liability lawsuits has fallen in recent years thanks to better designed products and more detailed regulations.
False
The original objective of product packaging was to increase consumer awareness of the product.
False
The original owner of a brand name can claim exclusive rights to the name even when the brand name becomes a descriptive generic name for a class of products.
False
When a company authorizes another organization to use its brand name, the company is practicing brand diversification.
False
The Columbia Sportswear Company decides to produce a line of jackets embroidered with the names of all of the NFL teams. For doing so, Columbia must first obtain an authorization from the teams and/or the league before using the trademarked names. This is an example of brand licensing.
Trie
A brand is said to have high relevance if a large number of consumers feel the need for the benefits offered by the brand
True
A brand name must qualify for legal protection.
True
A brand name should give buyers the correct connotation of the product's image.
True
A company sent free samples of their new shampoo to a researched list of potential customers. This strategy is most likely to accelerate the evaluation and trial stages of the consumer adoption process.
True
A family brand is a single brand name that identifies several related products.
True
A line extension involves the addition of new sizes, styles, flavors, or related products to an existing group of products.
True
A market penetration strategy seeks to increase sales of existing products in existing markets.
True
A national brand defines the image most people form when they think of a brand.
True
A product can fulfill its mission of satisfying consumer needs only if it ensures safe operation.
True
A product development strategy might include flanker brands that are introduced into the market to increase the overall market share of the company.
True
A product diversification strategy focuses on developing entirely new products for new markets.
True
A product manager often leads new product development programs, including creation of new product ideas and recommendations for improving existing products.
True
A product's package color, size and label shapes are all part of its trade dress.
True
A promotional outlay for a family brand benefits all items in the line.
True
A rise in perceived quality or public opinion about a brand enhances the brand's esteem.
True
A strong brand identity can contribute to the consumers' perceptions of product quality.
True
A trademark is different from a trade name which is usually used to identify a company.
True
A venture team functions as an entity separate from the basic organization.
True
An effective label performs both promotional and informational functions.
True
An excellent brand name or symbol in one country may prove disastrous in another.
True
Brand insistence, the ultimate stage in brand loyalty, leads consumers to refuse alternatives and to search extensively for the desired merchandise.
True
Brand preference is the stage of brand loyalty at which consumers rely on previous experience with a branded product when choosing it, if available, over competitors' products.
True
Branding helps firms build and maintain identity and competitive advantage for their products.
True
Brands with high equity often command comparatively large market shares.
True
Companies test market their new-product offerings to measure consumer reactions under normal competitive conditions.
True
Companies that follow category management process define the category based on the target market's needs.
True
Concept testing is a marketing research project that attempts to measure consumer attitudes and perceptions about the new product idea.
True
Even if a new product tests well in the market and reaches the commercialization stage, it may still take a while to catch on with the general public.
True
Fears of product tampering have forced many firms to improve package designs.
True
Food and household staples are common categories of generic products.
True
If potential buyers can observe an innovation's superiority in a tangible form, the adoption rate increases.
True
Jack does not buy his shoes from any company other than Unparalleled, a leading shoe manufacturer, because of the comfort they offer and their unique style features. Jack is in the brand insistence stage of brand loyalty.
True
Kroger, a popular milk brand, is a market leader in Denmark. About 30 percent of its sales and earnings take place outside its home country. Kroger can be regarded as a global brand.
True
Manufacturers' brands are also called national brands.
True
Marketers' emphasis on targeting smaller market segments has increased the importance of packaging as a promotional tool.
True
National brands sold exclusively by a retail chain are called captive brands.
True
New product committee members spend less time conceiving and developing their own new-product ideas than reviewing and approving new-product plans that arise elsewhere in the organization.
True
Once consumers have used a product, seen it advertised, or noticed it in a store, it moves from the unknown to the known category, which increases the probability that they will purchase it.
True
One of the problems associated with brand licensing is that brand names do not transfer well to all products.
True
Product liability insurance has become an essential element for any new or existing product strategy.
True
Product positioning refers to consumers' perceptions of a product's attributes, uses, quality, and advantages and disadvantages relative to competing brands.
True
Production of private-label goods helps manufacturers reach additional market segments.
True
Small manufacturers usually assign a category manager to each major channel such as grocery stores or drugstores, instead of each retail chain.
True
Some firms register a brand name before they have manufactured the product in order to prevent competitors from using the name.
True
The consumer adoption process spans from awareness of a product to its acceptance or rejection after a purchase has been made.
True
The diffusion process focuses on the speed at which an innovative product is accepted or rejected by all members of a community or social system.
True
The market shares for generic products increase during economic downturns but subside when the economy improves.
True
The practice of brand licensing expands a company's exposure in the marketplace.
True
The screening and business analysis stages of new-product development, determine the product's financial and technical requirements.
True
Tide laundry detergent commands an extremely high market share. Purchasers of the product are extremely less sensitive to price changes. Based on this assessment, it can be said that Tide has high brand equity.
True
