Chapter 9: Practice Quiz

A customer role describing a person or group who can make credible or recognized suggestions or recommendations to others regarding purchase choices is the end user. influencer. purchaser. decision maker.

influencer

Which of the following statements is true about products? People such as political candidates and celebrities cannot be considered as products. Most of the products sold today are combinations of both goods and services. Products in terms of goods are generally less homogeneous than services. Products in terms of goods are more inseparable from their providers than services.

Most of the products sold today are combinations of both goods and services.

Which of the following statements is true when comparing marketing plans and business plans? Only the business plan contains an executive summary. Only the marketing plan contains your marketing strategy. Only the business plan contains appendixes. Only the marketing plan contains the marketing budget and projections.

Only the marketing plan contains the marketing budget and projections.

One customer may buy a pair of jeans because of the brand name, while another may buy the jeans for the fit. If you market to both of these customers, you would be marketing to them based on the demographic segmentation. geographic segmentation. benefit segmentation. psychographic segmentation.

benefit segmentation.

Scenario: Kitchen Helpers Tony is a whiz in the kitchen. Not only does he make great food but he has invented about a dozen time-saving kitchen gadgets along the way. These are all home-made inventions made either by using new materials or by modifying existing gadgets to work in new, better ways. He has made duplicate gadgets for friends and some say they use the gadget every day. Tony quit his construction job to concentrate on his kitchen gadgets—he started his own company, Kitchen Helpers. The ________ is the term given to what a potential customer is trying to do—perform or complete come sort of task, solve some problem, or trying to achieve some outcome. Their target is often the key to what a proposed product or service is intended to help. purchasing process customer job purchaser customer profile

customer job

Which of the following is an example of a secondary target market? teens buying makeup grandparents buying toys for their grandkids homeowners buying insurance families with small children buying cars with high safety ratings

grandparents buying toys for their grandkids

Which of the following is the first stage of the new product development process? business analysis concept testing feasibility study idea generation

idea generation

Scenario: Kitchen Helpers Tony is a whiz in the kitchen. Not only does he make great food but he has invented about a dozen time-saving kitchen gadgets along the way. These are all home-made inventions made either by using new materials or by modifying existing gadgets to work in new, better ways. He has made duplicate gadgets for friends and some say they use the gadget every day. Tony quit his construction job to concentrate on his kitchen gadgets—he started his own company, Kitchen Helpers. A marketing concept that refers to the revenue (or profit) generated by one customer over their lifetime dealing with one firm is their long-term value. value proposition. customer development process. customer profile.

long-term value.

Which of the following is most likely to be an example of a good-dominated product? purchasing a sewing machine with a warranty leasing a sewing machine hiring the services of a tailor renting a sewing machine

purchasing a sewing machine with a warranty

Mike worked as an employee in an automotive repair shop. Many of his repairs were fixing botched stereo installations. Mike learned he was very good at correctly installing car stereo systems. He also learned that the chain stores that sold the car stereo systems, and offered "free" installation, were not good at installing their own stereos. Mike began to think about opening his own stereo installation specialty shop. He listened to his customer's complaints and decided there was a need in his area for just this type of service. This is an example of a me-too product. the product development process. a total product. the customer development process.

the customer development process.

Laura developed an innovative handy cleaning tool. She perfected and then replicated the tool several times over, providing gifts of the tool to all of her friends. They made great birthday or special occasion gifts. Eventually, Laura started her own successful company producing her innovative cleaning tool idea. This is an example of a me-too product. the product development process. a total product. the customer development process.

the product development process.

Scenario: Kitchen Helpers Tony is a whiz in the kitchen. Not only does he make great food but he has invented about a dozen time-saving kitchen gadgets along the way. These are all home-made inventions made either by using new materials or by modifying existing gadgets to work in new, better ways. He has made duplicate gadgets for friends and some say they use the gadget every day. Tony quit his construction job to concentrate on his kitchen gadgets—he started his own company, Kitchen Helpers. According to the Panel Study of Entrepreneurial Dynamics (PSED), when an entrepreneur comes up with the idea themselves, the single greatest idea source is from thinking about a problem. their knowledge or expertise with technology. their experience in a particular industry or market. developing another idea they had considered.

their experience in a particular industry or market.

The final goal for developing and testing your value proposition is how it stacks up against and will compete against the other offerings available to your customers. true false

true

The results from primary research are extremely current, but it can often take somewhat more time and money to gather it. true false

true

Scenario: Kitchen Helpers Tony is a whiz in the kitchen. Not only does he make great food but he has invented about a dozen time-saving kitchen gadgets along the way. These are all home-made inventions made either by using new materials or by modifying existing gadgets to work in new, better ways. He has made duplicate gadgets for friends and some say they use the gadget every day. Tony quit his construction job to concentrate on his kitchen gadgets—he started his own company, Kitchen Helpers. Which of the following is not one of the three tests of the approach when crafting a customer-focused value proposition? How many customer pains can you solve? How many customer gains can you provide? How closely does your product or service fit the customer's job? How does your price compare to competitors' prices?

How does your price compare to competitors' prices?

Which of the following statements is true of the target market? Your Total Available Market (TAM) represents the customers that you think would be interested in your particular product or service. Your target market is the same as your Serviceable Obtainable Market (SOM). Your Penetrated Market (PM) is your target market divided by your actual number of customers. Your Serviceable Available Market (SAM) is never the same as your Total Available Market (TAM).

Your target market is the same as your Serviceable Obtainable Market (SOM).

A customer role that describes a person in an organization who is responsible for choosing which product or service will be obtained is the decision maker. purchaser. end user. influencer.

decision maker.

When coming up with a new idea in the product development process, the focus is on the pains and gains of customers. true false

false

Marcie works at a public library and she is responsible for purchasing all audiobooks for the library. Marcie reads reviews of the titles from the available monthly circulars, choosing the titles she would like to add to the collection. Marcie then sends the order to the technical services department where Linda places the order. In this case Linda is playing the customer role of decision maker. purchaser. influencer. end user.

purchaser

Scenario: Kitchen Helpers Tony is a whiz in the kitchen. Not only does he make great food but he has invented about a dozen time-saving kitchen gadgets along the way. These are all home-made inventions made either by using new materials or by modifying existing gadgets to work in new, better ways. He has made duplicate gadgets for friends and some say they use the gadget every day. Tony quit his construction job to concentrate on his kitchen gadgets—he started his own company, Kitchen Helpers. The relation of product or company capabilities to customer pains and gains is the ________ you offer your customer. value proposition tangibility heterogeneity outstanding customer service

value proposition

Which of the following statements is not true of surveying questions? The most expensive method of obtaining survey answers is by mail. A common closed-ended question is the scalar question. Dichotomous questions offer two choices for an answer. Having a set of predetermined written questions has certain advantages whether responses are oral or in writing.

The most expensive method of obtaining survey answers is by mail.

Which of the following statements is true about me-too products? For me-too products, steps in new product development process should never be skipped. The vast majority of new ideas for small businesses will be me-too products. Idea generation is the longest stage in the development of me-too products. Testing a me-too product's differential advantage over competition is a wasted effort.

The vast majority of new ideas for small businesses will be me-too products.

Scenario: Kitchen Helpers Tony is a whiz in the kitchen. Not only does he make great food but he has invented about a dozen time-saving kitchen gadgets along the way. These are all home-made inventions made either by using new materials or by modifying existing gadgets to work in new, better ways. He has made duplicate gadgets for friends and some say they use the gadget every day. Tony quit his construction job to concentrate on his kitchen gadgets—he started his own company, Kitchen Helpers. A customer role that describes an individual or institution that pays for or obtains a product or service is the end user. decision maker. influencer. purchaser.

purchaser