Exam Prep

The process of evaluating a series of market segements to determine which segment or segments the firm should pursue is called: Market segmentation Market targeting Market definition Market aggregation Market Positioning

Market targeting

The Central Intelligence Agency wishes to improve the security of its global communications in light of the recent extensive hacking of supposedly secure systems. There are only a few firms that are qualified to build such systems. The CIA probably will employ which form of government buying?

Negotiated contracts

____________ are used by the federal government for the purchase of complex products that must be custom designed for specialized government applications. These products often require extensive research, development, and custom tailoring to satisfy government needs.

Negotiated contracts

Acquiring information about alternative vendors and products during the organizational decision process is probably is most difficult for:

New task decisions

According to the characteristics of a good brand name, is "Betty Crocker" a good name for cake mixes? Assume that you have never heard of this brand before.

No, because it suggests nothing about the product.

The requirement that a new product (innovation) PREFORM IN A superior manner at fulfilling customers' needs than existing products means that the new product possesses higher ____________ .

Relative value

Assume the US Navy contracts with a single weapons system manufacture for a new complex carrier defense system and that manufacturer subcontracts production of some components of the system to other manufacturers. Manufacturers that provide these contracting services to the Navy are said to be engaged in:

Systems selling

In the arena of new product development, the number of "inventions" exceeds the number of "innovations."

True

New product development (NPD) is essential because it leads to ___________.

(A & B) -Sustainable points of differentiation -Sustainable competitive advantages

The requirement that market segments be "large, measureable, and profitable" requires that firms be able to: Profile the consumers within the segment in terms of their demographics, psychographics, attitudes, and other characteristics Be able to estimate the size of the market segment in terms of numbers of potential customers, market potentials, and sales potentials Be able to precisely identify the geographic locations of customer segments a and b above All of a, b, and c above

(A and B above) -Profile the consumers within the segment in terms of their demographics, psychographics, attitudes, and other characteristics -Be able to estimate the size of the market segment in terms of numbers of potential customers, market potentials, and sales potentials

With respect to the buying center in a firm, personnel who actually operate equipment that may be purchased probably perform which role in the buying center?

(A and C above) -User -Influencer

The term "psychographics" refers to consumers' __________ Personality Attitudinal Behavioral Lifestyle a and d above

(A and D above) -Personality -Lifestyle

Which answer is correct? Positive brand equity can:

(A, B, & C) Increase the "share of mind" space enjoyed by the branded product. Be used by firms to launch new products more easily. Charge higher prices and not lose market share.

Bill works at Peterbuilt on the assembly line producing truck frames. Bill is exceptionally knowledgeable about the equipment needed to do his job and often makes recommendations to management on the specifications for and alternative suppliers of needed equipment. Given Bill's position on the assembly line as an operator, he probably functions in the buying center at Peterbuilt as a(n):

(A, B, and C are correct) -User -Initiator -Influencer

Jennifer is marketing manager for a major consumer goods firm. She is interested in determining if market opportunity exists for the sales of a new brand of organic, gluten free line of ready-made dinners. Jennifer knows that the market for ready-made dinners is very large and heterogeneous and wants to more precisely pinpoint those customers within this market that are most likely to respond favorably to the new brand. Apparently, Jennifer is interested in: How to best segment the ready-made dinner market Determining the best position for her brand Determining the range of subcultural groups that exists in the ready-made meal market How to best promote her new brand (All of the above)

(All of the Above)

Which of the following are steps toward enhancing your own personal creativity?

(All of the Above) -Challenging yourself -Capturing yourself -Broadening yourself -Einstein-ing yourself

Which of the following is a major benefit of branding to marketers?

(All of the Above) • Branding can aid in developing loyalty to the Firm's products. • Branding makes it easier to introduce new products. • Branding helps create barrier against successful imitation by competitors. • Branding makes it possible for Firms to charge higher prices

A brand's image (brand image) is primarily a function of:

(All of the Above) • The core brand • The physical brand • The enhanced brand • The affective brand

Which of the following should be done by marketers wishing to become suppliers of goods and services to organizational buyers?

(All of the above are correct) -Getting listed in trade directories that serve the buyer's industry -Employing aggressive promotion in media targeted to buyers in the industry to ensure their presence is made known -Employing aggressive B2B sales programs that complement other promotion initiatives -Promoting positive word-of-mouth, which is best generated by keeping existing customers satisfied

Which of the following are advantages of mass-marketing? A large pool of potential customers exists Scale economies in production and marketing can potentially be obtained Scale economies, if achieved, can yield low prices Firms still can differentiate their brands from those of competitors via creative promotion (All of the above)

(All of the above)

Best Buy provides its "Geek Squad" service to support sales of its computers and software. Providing such "value-added" to customers helps accomplish which of the following?

(All of the above) -Helps differentiates Best Buy from competing resellers -Provides Best Buy with a source of competitive advantage -Generates added sales revenue -Allows Best Buy to better compete with Internet resellers

The fact that both SIC and NAICS codes group similar companies together allows marketers to use these codes to:

(All of the above) -Treat some SIC and NAICS categories as market segments for their products -To directly target individual firms possessing a given code by cross-referencing SIC or NAICs with lists of companies possessing those codes obtained from other secondary data sources -To estimate the market potential for their products by combining data from SIC or NAICS with data from other secondary data sources that identify specific firms possessing the proper SIC or NAICS codes.

As consumers age, they tend to move from one stage of the family life cycle to the next. Each stage of the life cycle can be treated as a different market segment because

- consumers' needs for different products & services generally change from one stage to the next - key consumption-related demographic, media graphic, & psychographic traits may change from one stage to the next - consumers' incomes may change - consumption-related attitudes may change - brand preference may change

A 24V battery-powered hand drill made by Black & Decker that is sold to a small manufacturer is best classified as:

Accessory equipment

Which of the following are commonly employed to profile market segments once they are created? Psychographics Mediagraphics Geographics All of the above

All of the above

An oil drilling platform maintained by BP in the Gulf of Mexico is best classified as:

An installation

The stage of the organizational decision process in which proposals are compared against one another and against the specifications is the __________ stage.

Analyzing proposals

Which of the following is least characteristic of installations?

Are 'used up' in daily operations

Consumer lifestyle characteristics are normally measured with a combination of measures that assess the following characteristics except __________. Attitudes Activities Interests Opinions

Attitudes

Coke points out in advertising for caffeine-free Diet Coke that the "best things in life are free," meaning free of both sugar and caffeine. The implied positioning strategy is: Lifestyle Benefit Attribute Usage Occasion Consumption or usage rate

Attribute

A product's core benefits and physical characteristics comprise the ______________ level of product.

Basic

Which of the following is the most likely reason the advertiser ran the Rollerblade ad below?

Because the brand is in danger of becoming 'generic' and the ad emphasizes the equity associated with brand ownership.

_________ positioning emphasizes the brand's ability to satisfy specific needs that customers may have. Comparative Competitive Brand Usage occasion Benefit

Benefit

The totality of synaptic associations in a consumer's mind that hold all the feelings, images, sensations, experiences, and other content representing a brand is called:

Brand Schema

BIC introduced its line of disposable pens in 1959. It subsequently introduced lines of disposable lighters and razors in the 1970s. BIC apparently used which branding strategy to launch these later products?

Brand extension

The part of the brand that consists of words, letters, and/or numbers that can be vocalized is called the:

Brand name

The idea is complex and beyond the understanding of most potential users

Brand name.

Corrs the soft drink violated ___________ when it named its soft drink and used a logo font very similar to that of Coors beer.

Brand trademark law and regulations

Which of the following is not one of the recommended actions to foster increased creativity?

Build "associative barriers" to insulate the idea against competing points of view

With respect to the steps involved in enhancing your personal creativity, ensuring that you record your ideas and not let them slip away is:

Capturing yourself

With respect to the steps involved in enhancing your personal creativity, ensuring the you record your ideas and not let them slip away is:

Capturing yourself

With respect to the steps involved in enhancing your personal creativity, encouraging yourself to go after the toughest and most important problems is:

Challenging Yourself

The general purpose of the branding strategy called "over-branding" is to:

Change a brand's name gradually over time.

What publication produced by the federal government is used to provide information to prospective suppliers on potential upcoming contracts for which they can bid?

Commerce Business Daily

When microwave ovens were introduced in the early 1960s, they were slow to be adopted. Although the ovens scored very high on relative advantage, they were deemed to be inconsistent with the wife's role in the kitchen and perceptions on how food should be prepared. Which of the following factors that influence how rapidly new products diffuse was most likely the culprit?'

Compatibility

Comparative ads that attempt to show consumers that their brand is somehow superior to brands of other companies are employing a___________ positioning strategy Comparative Competitive Benefit Lifestyle Attribute

Competitive

Wendy's, in its classic "Where's the Beef" advertising campaign, emphasized the superior size of their burgers relative to McDonald's and Burger King. Making claims of direct superiority is the most common _____________ positioning strategy. Comparative Competitive Brand Usage occasion Benefit

Competitive

______________ positioning entails using customers' existing perceptions of other brands as the basis from which to create and eventually differentiate the firm's brand image. Comparative Competitive Brand Usage occasion Benefit

Competitive

Dupont's Quallofil is an insulating material used in multiple applications. One natural application is as the insulating material in sleeping bags. Quallofil is considered to be a:

Component part

When motor oil or anti-freeze is placed in automobile engines when they are manufactured, they are considered to be __________.

Component parts

______________ have undergone extensive processing. In turn, these products are merged with other products as they are assembled into more complex final products. These products can always be identified as unique components of final products into which they are incorporated.

Component parts

For ______________ products, consumers engage in no to little information search and rarely actively compare brands. They will readily purchase substitute brands if their preferred brand is unavailable.

Convenience

In-store stimuli such as end-of-aisle displays, shelf coupons, or free samples are often enough to stimulate purchases of ____________ goods.

Convenience

Products purchased as 'routine decisions' are generally:

Convenience

Products that tend to be purchased on impulse or to seek variety are:

Convenience goods

When new products are being introduced, marketers must structure or influence consumers' basic knowledge or understanding of the benefits delivered by the brand. Marketing managers therefore are focusing on structuring aspects of the ___________.

Core values of the physical brand

"Market positioning" as a component of the marketing management process involves: Determining the best physical location for products on the retail shelf Creating the desired image for the brand in the minds of the firm's customers Identifying and satisfying the wants and needs of customers in identified target markets Designing competitive marketing programs consisting of product, price, promotion, and distribution None of the above

Creating the desired image for the brand in the minds of the firm's customers

According to the text, ___________ is the ability to produce things that are novel original and also useful or adaptive.

Creativity

From a customer-oriented perspective, the ideal basis for segmenting a market is with: Product usage rates Customer's desired benefits or needs Customer demographics Where customers live When customers tend to use a product

Customer's desired benefits or needs

Melissa is a member of management with Peterbuilt and regularly participates with others to EVALUATE and choose among alternative vendors being considered as suppliers of equipment, parts, and materials. Melissa' role in the buying center at Peterbuilt is that of a(an):

Decider

The classification scheme for new products is based on:

Degree of consumer learning or 're-learning' required for the new product.

Because data are easily collected, readily available in secondary sources, and often are highly correlated with consumer wants and needs, __________________ is the most commonly employed segmentation base used in marketing applications. Life style Benefit Usage occasion Demographic Geographic

Demographic

When P&G adds a new laundry detergent (a flanker brand) to its existing line of detergents it has changed the ___________ of its product mix.

Depth

When first introduced, products such as VCRs, PCs, automobiles, aircraft, and electricity were ____________.

Discontinuous innovations

____________ are new products that require customers to learn new things, acquire new experiences, and adapt their current consumption behaviors before they can be properly used.

Discontinuous innovations

____________ are usually based on new technologies, provide dramatically different solutions to existing consumption related problems, and require that consumers learn new ways of solving old problems.

Discontinuous innovations

Which of the following is not among the types of buying decisions made within organizations?

Dynamic rebuy

Today's smart phones are highly evolved extensions of the older communications and computer technologies. The core function and benefit of smart phones is still that they permit people to communicate with other people. Smart phones when initially introduced as a product category were ___________.

Dynamically continuous innovations

____________ generally arises when two or more product ideas are combined in such a way that customers face some re-learning with respect to the new product's functions and usage.

Dynamically continuous innovations

Customers in the __________ adopter category, on average, possess higher discretionary incomes, are often higher in social status, and more knowledgeable about new products. These adopters are more willing to take more consumption-related risks. Early adopters

Early Adopters

In which of the adopter categories will opinion leaders most likely be found?

Early adopters

Consumers are generally more concerned with time and place utility when making purchases for _____________ goods. These purchase conditions make consumers less price sensitive and willing to pay more to obtain the product when and where it is needed.

Emergency

____________ are products which consumers use up and must restock quickly. Alternatively, a unique need might arise that requires immediate satisfaction, such as an umbrella on a rainy day.

Emergency

Which of the following features are generally part of the affective brand?

Emotions and higher level associations

WHEN AUTOMOTIVE DEALERS emphasize the quality of their friendly and expert service at dealerships, comfortable and clean waiting rooms at service facilities, liberal financing options, and no pressure sales, they are attempting to influence customers' perceptions of the _____________ level of brand.

Enhanced

Because many consumers see no differences between products at the basic level, proper management of the ___________ level of product allows the firm to differentiate its product from those of competitors.

Enhanced product

The 'level of product' that most closely represents the 'extra utility' provided by services such as credit, warrantees, delivery, post-sale service, etc. is called the:

Enhanced product

Which of the following is not one of the three steps in the market segmentation process described in the text? Create market segments using the segmentation "bases" that have been identified. Profile customers in market segments. Estimate demand in segments that have been identified. Identify segmentation bases or variables to be used.

Estimate demand in segments that have been identified.

Which of the following is not correct? Good brand names should:

Exploit verbal traps

Additives such as NutraSweet, a chemical sweetener, are combined with other ingredients to make food products. In the process, they lose their distinct identities. One can no longer tell NutraSweet from other ingredients used to make candy bars or soft drinks. NutraSweet is a:

Fabricating material

Like many characters created for commercials, the Chihuahua in the Taco Bell commercials has appeared on T-shirts, caps, cups, and posters--some licensed, many not. Soon some other commercials will capture the attention of the American consumer, and some other character(s) will appear on T-shirts, caps, cups, and posters. These commercial-derived products are examples of:

Fads

Coupons, games, contests, premiums, and gifts are primarily employed during the introductory stage of the PLC to gain product awareness & stimulate trial. These tools receive relatively little attention during later stages

False

True or False: Some firms find it attractive to target "niches" because niches are typically larger and, therefore, attract more competitors.

False

True or Fasle The number of lines in a firm's product mix is referred to as depth.

False

The advantages of brand extension as a strategy are most closely related to those of _______.

Family branding

When all or most of a firm's product mix features the same brand name, the branding strategy is called:

Family branding

Keurig is famous for its state-of-the-art coffee maker, but the company also makes other small appliances, such as an ice cream maker. Each product bears the Keurig name and carries on the Keurig reputation for high quality. Keurig uses _____ branding.

Family.

Product categories most appropriate for segmenting consumers of those products into usage rate segments include: Consumer appliances, such as TVs and microwave ovens Designer clothes and jewelry Fast food, snacks, and beverages Automobiles and other forms of transportation All are equally appropriate for usage rate segmentation

Fast food, snacks, and beverages

Which of the following least justifies the claim that demographic segmentation bases the most widely employed of segmentation bases? Demographic traits are often highly correlated with consumption behaviors and preferences Demographic traits are easily identified and measured Demographic information is readily available in secondary sources Demographic characteristics can be used to segment markets and simultaneously profile them Few differences exist across different geographic areas for the relationships between key demographic traits and consumption behaviors.

Few differences exist across different geographic areas for the relationships between key demographic traits and consumption behaviors.

Cannibalization of sales is most likely greater with which of the following branding strategies?

Flanker branding.

Suppose a chain of hair salons decides to locate its stores only in the suburbs. This would be an example of the use of a _________ segmentation base. Demographic Behavioral Usage-rate Geographic Psychographic

Geographic

Which of the following is an unlikely management strategy to use for a product in the decline stage of its product life cycle?

Increase the depth of the product line by adding new line extensions or flanker brands.

Which of the following is least associated with the geographic roll-out of new products?

Incremental steps in the roll-out process are accompanied with changes in the marketing mix tailored to meet the requirements of each geographic market

Which of the following is not an advantage to mass-marketing?

Individual customers' wants and needs can be more directly targeted.

Which of the following is not an advantage to mass-marketing? A large pool of potential customers exists Scale economies in production and marketing can potentially be obtained Scale economies, if achieved, can yield low prices Firms still can differentiate their brands from those of competitors via creative promotion Individual customers' wants and needs can be more directly targeted.

Individual customers' wants and needs can be more directly targeted.

The use of the family lifecycle for segmenting markets for some products is particularly attractive because: Segments are easy to identify and target Individual stages in the lifecycle contain consumers with similar demographic characteristics and consumption preferences Only first and last stages in the lifecycle require different marketing mix approaches The stages in the lifecycle do not change over time making the scheme consistently useful to apply.

Individual stages in the lifecycle contain consumers with similar demographic characteristics and consumption preferences

Which of the following is NOT a likely way of SEGMENTING ORGANIZATIONAL MARKETS? Industry type by employing NAICS or SICs Industry size assessed, for example, by number of employees Technologies employed in firms Geographic locations Industry (product) life cycle stage

Industry (product) life cycle stage

Developing primary demand and stimulating trial for goods and services is a fundamental objective of the _______________ stage of the PLC.

Introduction

When Excedrin introduced its new Excedrin Migraine into its product line of pain relievers, it was introducing a:

Line extension.

Which of the following is least relevant to marketers wishing to become suppliers of goods and services to organizational buyers?

Maintaining a strong presence on social media, such as Facebook

Procter and Gamble makes extensive use of multiple branding for items in most of its product lines. Which of the following is least likely to be an advantage of this strategy?

Makes it easier and cheaper to launch new products due to the common image associated with all P&G brands.

One of the advantages of using family branding is that the strategy:

Makes it less expensive to introduce new, related products.

Ford motor company purchases anti-freeze in bulk from DuPont Corporation. This anti-freeze is placed in the radiators of its new cars prior to their being shipped to the dealers. The anti-freeze is:

Manufactured or component part

In which type of market do firms purchase a wide range of parts, raw materials and, often, services that are used to produce new products,

Manufacturer market

Manufacturers of national brands generally will also produce products under private labels. This is done because:

Manufacturers of national brands often cannot sell all their output under their own brands.

Middlemen stock and sell producers' brands for all of the following reasons except:

Margins tend to be higher than for private label brands.

___________ is the upper bound on sales for all firms in a given industry of a product sold to a specific market in a specified period of time. Sales potential Profit potential Actual demand Market potential Customer potential

Market potential

Price competition between firms is most likely with which of the following target marketing strategies? "Niching" Mass-marketing Macro-marketing Micro-marketing Target marketing

Mass-marketing

Dial Company introduced liquid soap in 1988. Today competition in the industry is intense. The manufacturers of liquid soap are adopting a defensive positioning strategy and intensive product distribution. Their promotions appeal to brand loyalty. From this information, you know that liquid soap is in the _____ stage of its product life cycle.

Maturity

Industry sales are growing, but the rate of growth has slowed dramatically. The number of competitors is increasing and individual firms are spending large sums in order to buy market share from one another. As a result of increased marketing costs, profits are eroding. Which stage of the product life cycle seems to be indicated?

Maturity

The adopter category called laggards is targeted beginning in which stage of the PLC?

Maturity

Organizations in the same industry usually perform SIMILAR BUSINESS FUNCTIONS and face many of the same general production, marketing, personnel, or purchasing problems. These similarities make it possible to employ ____________ for segmenting such organizational markets. NAICS Geographic locatio Company size and number of employees Industry size

NAICS

The US Navy when it buys new ships or other weapons systems will most likely employ which form of governmental buying?

Negotiated contracting

Decisions in organizations for complex, high-risk, first-time purchases of major equipment and production installations fall into which buy class?

New Task

With respect to pricing services, during periods of slow demand, services marketers may employ ___________ to encourage and elevate demand.

Off-peak pricing

Consumable production supplies, such items as sandpaper, welding rods, emery cloth, and solvents are considered to be:

Operating supplies

The 'convenience goods of the industrial market' are:

Operating supplies

Utilities such as heating fuels, water, and electricity are all consumed in the firm's daily operations and are repurchased, essentially, automatically. These products are considered to be:

Operating supply

Olivia is current president of the American Marketing Association student chapter at UNT. She is an extremely intelligent and outgoing leader. Other students in the marketing degree program at UNT look to her for advice a range of academic and professional issues. Olivia, apparently, is a(n) ___________.

Opinion leader

___________ are individuals who have a strong propensity to pass on both positive and negative word-of-mouth communications to other consumers.

Opinion leaders

Products purchased for use in business operations, or for resale to other organizations, or as a part employed in the production or another product are referred to as:

Organizational products

Apple computers have been characterized as "works of art" rather than just computers. Apple's focus on design aesthetics and functionality has proven a key ingredient to Apple's success. Apple is doing a great job of managing the ____________ level of product.

Physical

The company that is the first to introduce a new type of product to market often achieves a:

Pioneer advantage

When total revenue (price x quantity sold) decreases as price decreases, demand is said to be ____________ .

Price inelastic

The demand for goods and services produced by an entire industry tends to be _______________ ; while the demand for goods and services produced by individual firms within that same industry tends to more ____________.

Price inelastic; price elastic

Demand for a product category rather than single brands is called:

Primary demand

Probably the single most important invention in history that changed the world forever was the ___________ .

Printing press

With respect to product mix terminology, the range of brands within each of a firm's product lines are called:

Product items

The step in the market segmentation process in which marketers employ a combination of DEMOGRAPHIC TRAITS, mediagraphics, psychographics, and attitudes to characterize segment members is the ____________ stage. Positioning to market segments Profiling market segments Creating market segments Evaluation of market segments Targeting market segments

Profiling market segments

The three steps on the market segmentation process include identifying segmentation bases, creating market segments, and .

Profiling those segments

Google has in place a set of procedures that generally guide future new product developmental efforts. These procedures summarize the roles of proposed new products in the Firm's existing product portfolio; establishes tentative revenue, market share, and profitability goals for the new product; and tentatively sets aside resources that may be needed to produce, promote, and distribute the new offering. These procedures are called the new product development ____________ .

Protocol

Which of the following is least representative of the installation as an organizational product?

Purchase decisions tend be solely the responsibility of purchasing agents.

Which of the following is not a role performed in a firm's buying center?

Purchasing agent

In a firm's buying center, the deciders for products purchased on straight rebuy bases generally are _________ .

Purchasing agents

Mined products, forestry products, and agricultural products are typically classified as:

Raw materials

Hismanal is a drug that will eliminate all of your seasonal allergy complaints without making you drowsy. In terms of currently available allergy remedies that do make many people drowsy, Hismanal has greater ______ for allergy sufferers, which should speed its diffusion rate.

Relative Advantage

Which of the following is least characteristic of convenience goods?

Requires exclusive distribution

Wholesaling middlemen and retailers are considered to be part of the _____________ organizational market.

Reseller

__________ normally do not transform products in any way. Usually, products are sold to the next supply chain member without any modification.

Resellers

A single firm's potential unit or dollar sales for a specific product to a specific target segment during a specified period of time is that firm's: is the upper bound on sales for all firms in a given industry of a product sold to a specific market in a specified period of time. Profit potential Market potential Demand potential Customer potential Sales potential

Sales potential

Those characteristics that allow marketers to define market segments and distinguish one market segment from another are called: Segmentation dimensions Segmentation bases Dimensioning variables Separation bases Segmentation characteristics

Segmentation bases

Demand for brands rather than for a product category is called:

Selective demand

Which of the following is not a component of the services marketing mix?

Service quality

_________ entail actions performed by people or machines that deliver desired values to customers.

Services

__________ entail the performanceof specialized activities by individuals or organizations for purposes of benefiting other entities (usually customers).

Services

Consumers are most likely to engage in 'extensive' decision making for ___________ goods.

Shopping

Consumers usually actively seek information about alternative brands before making decisions for ____________products. Generally, more time is spent comparing alternatives for this type of good than for any other.

Shopping

Patricia extensively compared brands and prices for SLR camera equipment prior to finally deciding on the Nikon D300. Pat essentially has treated camera equipment as a ___________ good.

Shopping

_____________ are those for which consumers compare alternative brands against one another or compare the same brands across multiple retail settings prior to making a purchase decision.

Shopping

When introducing a new product, if the firm wishes to RECOUP its costs rapidly during the introductory phase of the PLC, it probably should employ a _________ pricing strategy.

Skim the cream (skimming)

During which stage of the organization decision process for products is a supplier most likely to DELIVER A FORMAL PRESENTATION to the organization?

Soliciting proposals

Which of the following is least likely to contribute to the general increase in profits experienced by products that have entered the growth phase of the PLC?

Spending on advertising and other forms of promotion tends to be drastically reduced during this stage.

Which of the following is not one of the adopter categories responsible for the spread of innovations (new products)?

Stragglers

Management is in the _____________ stage of the new-product development process when it estimates market demand and prepares cost estimates for the new product.

Strategic Business analysis

Ongoing NPD programs in Firms are important for all of the following reasons except:

Strong NPD programs increases the Firm's ability to compete with lower prices in global markets.

___________ are comprised of linked organizations through which products are sourced, manufactured or assembled, and finally, transported, inventoried, delivered and ultimately sold to end-use consumers.

Supply chains

UNT typically procures its entire supply of Maintenance, Repair, and Operating (MRO) items, requiring that the supplier track inventory and automatically restock items as required. UNT has engaged in:

Systems contracting

Organizational buyers often seek to purchase "total solutions" to their procurement problems by contracting with a single vendor who, may in turn, subcontract aspects of the contract to other vendors. Vendors who provide such services are said to be engaged in:

Systems selling

Jeremy runs a SCUBA diving shop in Cozumel, Mexico. Jeremy has tailored his diving operation to serve serious divers preferring deeper diving profiles and longer dives. His marketing program is geared specifically to attract this type of diver which, apparently, is his: Target market Customer base Market segment Target audience Target customer

Target market

Which of the following would not be considered as an example of an organizational market?

The CEO of Home Depot buys appliances for his personal residence

When using the PRODUCT-BASED approach to Hierarchical Structures analysis for segmenting markets managers usually start by identifying the overall product-market in which the firm competes and then working down to: The niche in which the firm competes The specific micro-segments in which the firm competes The branded product-market in which the firm competes The macro-segment in which the firm competes

The branded product-market in which the firm competes

Which industry first extensively employed the strategy known as "co-branding"?

The credit card industry

Which of the following is least characteristic of the purchasing decisions classified as new task?

The decision process is generally quick and often dominated by purchasing agents

According to the text, what can be said about the general quality of products made in the US today?

The delivery of high quality now is viewed as a necessary condition to effectively compete in industries.

The 'core values' component of the basic product is most closely associated with:

The fundamental benefits that the product delivers to buyers.

With respect to usage rate segmentation schemes, the heavy consumption segment is normally called: Heavy users The primary usage category The heavy consumption target The heavy half The major half

The heavy half

Which of the following is not among those factors that identify the "best creative ideas?"

The idea is complex and beyond the understanding of most potential users

One of the most important technological advances in services delivery (services distribution) is:

The internet and apps that allow firms to directly interface with customers

The distinct lettering that identifies a brand is generally referred to as:

The logo or logotype

Candice is the marketing manager for a consumer goods firm. Based on results from a market segmentation study, Candice has decided to segment the firm's market into 'usage rate' or 'consumption rate' segments. The results of the study identified a sizable 'heavy half' that Candice decided to target because she has always assumed that the most profit potential exists with this segment. Candice may be guilty of committing __________________ . The majority fallacy Marketing myopia The 80-20 principle Statistical sampling error None of the above

The majority fallacy

Ads and packaging for Vaseline always present the brand as Vaseline brand petroleum jelly because

The manufacturer hopes that by linking the brand name with a name for the product category, the Vaseline brand will be protected from becoming generic in use

Lucas is marketing manager for Monster, a producer of energy drinks. A primary market segment targeted by Monster is the fitness market. Lucas estimates that the size of this market exceeds $6.3 billion per year. In addition, Lucas estimates that Monster can garner 12% of this market, worth about $.756 billion. The upper estimate of $6.3 billion is ________ . The market potential for all energy drinks The actual demand for all energy drinks The profit potential for all energy drinks Sales potential for all energy drinks Customer potential for all energy drinks

The market potential for all energy drinks

Consider the overall market for beverages in the US. This market consists of both alcoholic and non-alcoholic drinks. Within the alcoholic portion of the market there are a large range on different types of alcoholic drinks, including wines, beers, hard liquors, etc. In addition, each of these later alcoholic lines of beverages can be further subdivided. For example, beers can be, as a minimum, divided into ales and lagers, with many subcategories within these broader groups. If one is seeking to enter the beer brewing business and is conducting an MOA, they might define THE ENTIRE BEER MARKET as: The mass market or total product-market A macro-segment A micro-segment A simple market segment A niche

The mass market or total product-market

Which of the following is the most common reason why new product innovations fail?

The product possesses insufficient relative advantage for existing products

The biggest potential drawback to the co-branding strategy is:

The risk of damaging a brand name if the cooperative endeavor fails. The possibility that the new co-branded product does not "fit" with the consumers' the image of either partnering brand.

Which of the following is not true of the NAICS coding system?

The system was established by states to allow each individual state to classify businesses within its borders

Because services are simultaneously produced and delivered, they cannot be separated from the persons who deliver them. The quality of the service and utility (value) delivered to customers result from the efforts of those who perform the service. This reflects which characteristic of services?

Their inseparability

Services are produced and delivered by the service provider—usually at the location where the service is consumed. This reflects which characteristic of services?

Their inseparability

Consumers cannot judge the quality of a service encounter prior to its actual delivery. As a result, consumers often seek out cues in the service-delivery environment in order to predict the level of service they can expect. This reflects which characteristic of services?

Their intangibility

With respect to the PLC, the x-axis most closely represents:

Time

Which of the following is least likely true of straight rebuy decisions in organizations?

Top management directs the decision process

The level of product that is most closely associated with brand image is:

Total Product

That aspect of a 'product' that is most responsible for creating 'brand image' is:

Total product.

Last week Janet purchased her first bottle of Excedrin Migraine. She wanted to see if the product s pain-relieving benefits were any better than the brand she was using. Janet is most likely in the ___________ stage of the new product adoption process.

Trial

: Positive brand equity allows firms to launch new products more easily.

True

A major potential drawback to the co-branding strategy is the risk of damaging a brand name if the cooperative endeavor fails.

True

In general, the selection of a segmentation base/bases will tend to determine, at least in part, the firm's positioning strategy

True

The general purpose of the branding strategy called "over-branding" is to change a brand's name gradually over time.

True

The major thing that separates the "new & improved strategy" from other strategies employed during the growth & maturity stages of the PLC is that no new benefits are added with the product change. Only existing benefits are enhanced

True

Colorado Rocky Mountain Winery bottles a line of wines sold at a number of price points, based on the quality of the wine. Based on studies of its customer base, the winery knows that customers prefer different qualities of wines depending on when they are consumed. Its cheaper wines are targeted to casual consumption situations, while the more expensive wines are expected to be consumed on special happenings. Colorado Rocky Mountain Winery is apparently segmenting its customers based on: Usage rate Benefits desired Lifestyle Usage occasion Self-concept

Usage Occasion

Bayer Aspirin promotes its Baer PM brand as "the only night-time aspirin that relieves pain and gently helps you sleep." Bayer is positioning its brand using: Lifestyle Income Age Usage occasion Consumption or usage rate

Usage occasion

Gatorade is normally promoted as a sports drink for replenishing lost electrolytes after a hard workout. However, Gatorade has aired ads that position the brand for use at other times. Some Gatorade ads promote its use during cold and flu seasons as an aid in replenishing lost fluids due to illness. Gatorade is employing a ______________ positioning strategy. Usage occasion Competitive Brand Lifestyle Benefit

Usage occasion

DURING THE IDENTIFY SPECIFICATIONS STAGE of the organizational decision process products and their component parts may be critically evaluated by both the firm and its suppliers with respect to function and design in order to improve quality and, at the same time, LOWER production and parts/ material COSTS. This process is known as:

Value analysis

___________ is employed by manufacturers and their suppliers to reduce or control the costs of component parts and other materials via a careful study of how processes, procedures, and parts might be redesigned and/or standardized across a range of products the manufacturer may produce.

Value analysis

Consumers may switch between different brands of some convenience goods out of boredom, just to change things up. These brand-switching behaviors are known as ______________. Purchases may have been preplanned in that consumers "knew" they were going to purchase a specific product or brand but changed their minds in-store, deciding to try something different.

Variety-seeking decisions

Firms wishing to exploit a niche often prefer which type of competitive positioning strategy?

Very different from other brands (positioned far away from other brands to avoid confusion)

P&G has decided to add a line of life insurance instruments targeted to consumers of its existing brands. This decision will result in P&G increasing the ________ of its product mix.

Width

Modern branding, as we commonly know it today, actually began:

With the American west, and ranches' horses and

Which stage in the family lifecycle is associated with consumers who prefer sports cars, recreational products, entertainment, and fashion clothing? This is also the first stage in the lifecycle. Young married couples with no children Young married couples with children Middle-aged with no dependent children Young singles Older singles

Young singles

Which stage in the family lifecycle is the fastest growing, on limited income, with preferences for smaller food portions, smaller and more efficient apartments, less expensive childcare, and time-saving appliances? Young singles Young singles (or divorced) with children Middle-aged with children Middle-aged no dependent children Middle-aged divorced with children

Young singles (or divorced) with children

Procter & Gamble produce and market Zest, Safeguard, Camay, and Lava brand bar soaps, among other personal care products. Zest is a refreshing "morning wake-up" soap. Safeguard is positioned as antibacterial. Camay is a gentle cleansing soap. Lava is for tough cleaning jobs. These different brands illustrate the use of:

a multiple-brand strategy.

Probably ________ is the method of segmenting markets that is most consistent with the tenets of the marketing concept

benefit segmentation

Managers are typically most concerned with managing ________ life cycles

brand

All of the following are typical benefits of family branding except

cannibalization of sales of some products bearing the family brand when new products are introduced

The failure of New Coke illustrates the danger of ignoring the importance of the ________ with respect to its contribution to the consumer's overall brand image

core brand values & extended (affective) brand

Laggards are most associated with this stage of the PLC

decline

The _____ of a new product is the process by which an innovation is spread through social system overtime

diffusion

The major hurdle associated with employing brand extension to launch new products is

ensuring that there is sufficient perceptual fit between the brand & the new product category

With respect to the levels of brand, marketing managers have least control over managing consumers' brand associations for the

extended or affective brand

The Wendy's "where's the beef" campaign was an effective use of a humor appeal to cement the brand's position in the minds of consumers. The competitive positioning strategy employed was

like (similar to), but better than

All of the following are reasons why middlemen prefer their own brands except

manufacturers of the brands provide extensive promotional support

Competition tends to be most intense during this stage of the PLC

maturity

Products like Campbell's soups have been around for decades. Now Campbell spends much of its advertising dollars on publishing recipes that use Campbell's soups as one of their main ingredients. This strategy suggests that Campbell's soup is in the _____ stage of its product life cycle.

maturity

Multiple branding of products in a firm's product portfolio occurs when

most products produced by the firm are given separate individual brand names

When Office Depot purchased Office Max, the decision was made to keep both company's names in subsequent advertising rather than adopting a single name. This is an example of

over-branding

Arm & Hammer has been particularly successful at brand extending because its distinctive ingredient (baking soda) contributes substantially to the brand's ________ with its extension products

perceptual fit

The 3 steps on the market segmentation process include identifying segmentation bases, creating market segments, and

profiling those segments

Today we view brands as

psychological contracts in consumers minds

Sometimes it is necessary to change a brand's personality as markets or other environmental conditions change. Changing the brand's personality is called

repositioning

Consumers are most likely to engage in extensive decision making for ________ goods

shopping

Firms choosing to employ the positioning strategy "positioning toward own brand" can do so because

they have a history of exceptionally strong, positive images for their products (& therefore substantial brand equity)

The probable reason that the BIC Parfum (a BIC brand extension) failed during test market was it's lack of perceptual fit with the BIC brand image

true

P&G has decided to add a line of life insurance instruments targeted to consumers of its existing brands. This decision will result in P&G increasing the _______ of its product mix

width

For routine purchases, such as purchases of office supplies and cleaning supplies, lists of approved buyers may exist based on prior experience with these sellers. Government agencies may directly purchase from firms on these lists without soliciting additional bids. However, the size of the order is generally limited to under __________ for the federal government

$2,500

A mass-marketing strategy is most likely to work when: The product being marketed is in the early stages of its product life cycle The product being sold is not easily differentiated from other brands of the same product Little competition exists from other brands Market segments exist but are too small to effectively target individually (All of the above are true)

(All of the above are true)

During the introductory stage of a product's life cycle: The promotional program is designed to stimulate demand for the product category. There is very little direct competition. Costs are high. The profit curve is negative through most (perhaps all) of this stage. (All of the above are true)

(All of the above are true)

The firm's primary purpose for segmenting larger markets into more homogeneous submarkets in which members share common consumption, demographic, psychographic, and attitudinal characteristics is that members of such segments tend to: Prefer similar products possessing similar product features, attributes, and benefits. Respond similarly to a given promotional messages React similarly to the same pricing strategies Prefer to buy through the same distribution channels (All of the above are true)

(All of the above are true)

"Consistent delivery" for differentiating the services offered by a firm involves: Recruiting and training capable, expert service providers Training and maintenance programs that ensure its equipment and personnel consistently deliver a higher-quality service than its competitors Quality control programs to ensure high quality and consistent service delivery (All of the above) Only a and b above

(All of the above)

The requirement that market segments be "actionable" means that: Firms have the financial resources to target the market segments desired Firms' employees possess the necessary skill sets to capture sales in the desired segments There exist adequate media channels to communicate with customers in targeted segments There exist proper distribution channels to move products into the hands of consumer in targeted segments (All of the above)

(All of the above)

To effectively segment markets, the following conditions must be met: Segments should be "homogeneous within" and "heterogeneous between" Segments must be large enough to be profitable Segments must be accessible via communications and distribution channels Firms must have adequate resources to target these segments (All of the above)

(All of the above)

Which of the following are likely ways of segmenting organizational markets? Industry type by employing NAICS or SICs Industry size assessed, for example, by number of employees Technologies employed in firms Geographic locations (All of the above)

(All of the above)

Which of the following are ways in which firms seek to manage their services brands? Find and promote a tangible object that represents the service image the firm wishes to project, such as Prudential's "rock" that signals strength and stability Identifying and promoting the key factors that are important for solidifying brand image Ensuring that these key factors are consistently performed and emphasized with each service encounter Having control programs in place to monitor service delivery and brand image (All of the above)

(All of the above)

Which of the following is true of "niches" as market segments? They are the smallest operational market segment Consumers in niches are more similar to one another in terms of purchase-related characteristics than consumers in other market segments Consumers within a given niche tend to respond similarly to a given marketing program (marketing mix) Niches tend to attract less competition than other types of market segments. (All of the above)

(All of the above)

Which of the following is characteristic of the modified rebuy in organizational purchasing?

(All of the above) -A limited number of alternative products and/or vendors will be considered -The decision is generally triggered by a change in some environmental event -"Out suppliers" may try to trigger the modified rebuy by attempting to get buyers to consider the merits of their offerings over the merits of products currently used -Can evolve from purchases that previously were new task or straight rebuy

Jill is a very deliberate buyer. She is very risk averse and is always careful to ensure that she makes the best decision possible for her precious dollars. Jill prefers to buy known brands because:

(B & C) She knows what to expect in terms of quality and performance It saves her time and makes the decision process easier

The large, heterogeneous market from which specific submarkets (market segments) are drawn is also called the: Mass market Total product-market Grand market Aggregate market Both a and b above

(Both A and B above) -Mass market -Total product-market

Organizational buyers are more likely to buy direct from the manufacturers of products when:

(C and D above are correct) -The products are complex and expensive pieces of equipment that may require custom design and installation. -The organizational buyer purchases in very large volumes

Market penetration is a strategy employed by firms during the introductory stage of the PLC because of all the following reasons EXCEPT:

(None of the above is an exception) (firms expect decide in unit costs due to scale economies as market share is acquired, firm anticipates that competitors will quickly be attracted to the market, consumers are highly price sensitive, market demand is price elastic)

Examine the image. "Tony the Tiger" best illustrates which of the following?

A Trade Character

Star Wars dolls, book bags, sweatshirts and posters seemed to become popular overnight. After about six months, you were able to buy Star Wars products at flea markets and garage sales for less than 25 percent of their original cost. Star Wars-related products exemplify:

A fad

Assume Kellogg's is planning to produce and market a line of DVDs. Which of the following brand strategies would Kellogg's be LEAST likely to use?

A family brand with the Kellogg's name.

______________ undergo extensive additional processing during their conversation into other products. The only initial processing received is to preserve them during storage while awaiting shipping to production facilities or to make the product easier and/or less expensive to ship.

Accessory equipment

Consider the overall market for beverages in the US. This market consists of both alcoholic and non-alcoholic drinks. Within the alcoholic portion of the market there are a large range on different types of alcoholic drinks, including wines, beers, hard liquors, etc. In addition, each of these later alcoholic lines of beverages can be further subdivided. For example, beers can be, as a minimum, divided into ales and lagers, with many subcategories within these broader groups. If one is seeking to enter the beer brewing business and is conducting an MOA, THEY MIGHT DEFINE THE CATEGORY OF ALES to be: The mass market or total product-market A macro-segment A micro-segment A simple market segment A niche

A macro-segment

Consider the overall market for beverages in the US. This market consists of both alcoholic and non-alcoholic drinks. Within the alcoholic portion of the market there are a large range on different types of alcoholic drinks, including wines, beers, hard liquors, etc. In addition, each of these later alcoholic lines of beverages can be further subdivided. For example, beers can be, as a minimum, divided into ales and lagers, with many subcategories within these broader groups. If one is seeking to enter the beer brewing business and is conducting an MOA, within the category of ales exists the SUBCATEGORY OF ENGLISH ALES which might be considered: The mass market or total product-market A macro-segment A micro-segment or niche A simple market segment

A micro-segment or niche

Within the fitness market, dedicated bodybuilding clubs exist that amount to "sweat shops" serving the needs of amateur and professional bodybuilders. These clubs focus on traditional free weights with limited machines, support facilities, and services. This market represents: A niche A target market A macro market segment A market opportunity A market position

A niche

With respect to segmenting consumer markets by consumption rates, it is usually assumed that: About 50% of the market will be heavy users, the remaining 50% will consist of light or moderate users. A small proportion of consumers (e.g. 20%) will be heavy users and account for the majority of the product's consumption A large proportion of consumers (e.g.75% or more) will be heavy users and account for the majority of the product's consumption About 50% of the market will be heavy users, 25% will be moderate users, 15% will be light users and the remaining 10% will be sporadic users.

A small proportion of consumers (e.g. 20%) will be heavy users and account for the majority of the product's consumption

Alka-Seltzer recently brought back the animated character Speedy Alka-Seltzer as its spokesperson. "Speedy" best illustrates which of the following for the Alka-Seltzer brand?

A trade character

Frito Lay test marketed a new flavored potato chip fundamentally identical to Procter & Gamble's Pringles line of chips. Sales were disappointing as revenues were not even high enough to cover the product's costs. Frito Lay decided not to commercialize the product primarily because the were afraid the product would be a(n) _______________ ?

Absolute Failure

______________ includes most office equipment, such as printers, computers, copy machines, and office mailing equipment. These products are often expensed when purchased rather than being depreciated over time.

Accessory equipment

When producers of beer brands, such as Coors Light, Bud Light, and Miller Lite depict their brands being consumed in festive party settings they are attempting to structure or manage the ________ level of brand.

Affective

The failure of 'New Coke' illustrates the danger of ignoring the importance of the _______________ with respect to its contribution to the consumer's overall brand image.

Affective brand

There are a number of common sources of key "determinant dimensions" employed to help define positioning strategies. Which of the following is not one of those sources? Attributes employed during the perceptual mapping process Image dimensions between competing brands Benefit or product attribute differences between competing brands Service differences between competing brands Customer differences associated with competing brands

Attributes employed during the perceptual mapping process

Which of the following is least characteristic of "niches" as market segments? They are the smallest operational market segment Consumers in niches are more similar to one another in terms of purchase-related characteristics than consumers in other market segments Because of their small sizes, it is tough to establish a differential advantage over competing brands. Consumers within a given niche tend to respond similarly to a given marketing program (marketing mix) Niches tend to attract less competition than other types of market segments.

Because of their small sizes, it is tough to establish a differential advantage over competing brands.

To reverse a downward trend in sales, Mazda introduced its MPV minivan. Mazda positioned its van as a cross between a standard minivan and a sport utility vehicle. Mazda knew that it needed to use a market segmentation strategy to correctly target the MPV. One of the segments that Mazda targeted was automobile owners who wanted to be able to tow their boats and campers behind their minivans. Which segmentation base is implied? Psychological Geographic Benefit Demographic Product

Benefit

____________ positioning is typically used for products that are purchased for their form utility or functionality. Consumer non-durable goods such as toothpaste, soap, household cleaning supplies, canned goods, and personal care products are commonly positioned in this manner.

Benefit

Which of the following segmentation bases best illustrates how market segments were created in Russell Haley's toothpaste segmentation study which segmented toothpaste users into the categories of worriers, sensories, socialbles, and general? Age Lifestyle Income Benefits Self-concept

Benefits

Which of the following segmentation bases is most consistent with the tenets of the marketing concept? In other words, if you are a strong advocate of the marketing concept, which of the following segmentation bases will be most consistent with your "philosophy of doing business?" Age Lifestyle Income Benefits Self-concept

Benefits

Gillette advertised its line of Mach 3 razors as the first triple-bladed razor. Which type of segmentation base is implied? Lifestyle Age Income Benefits or product attributes Gender

Benefits or product attributes

Which is the following product endorsers is not a traditional branding trade character?

Bill Cosby

__________ means that the demand for organizational goods and services is ultimately a function of the demand for consumer goods and services.

Derived demand

Being too quick to criticize new product ideas is considered to be one the biggest pitfalls of _______________ .

Brainstorming

There are many products sold that bear the Harley-Davidson brand, however Harley-Davidson does not manufacture these products. Instead, Harley-Davidson allows other manufacturers to use its brand name in return for royalties on the sales of these products. Harley-Davidson is apparently employing a ______________ strategy.

Brand Licensing

The role in the buying center that typically arranges the specific details of the purchase, potentially negotiates specific terms of the contract, processes the paper work, monitors progress on delivery, and engages in any expediting that may be required is a(n):

Buyer

The ____________ in organizations consists of all people involved in the decision making process, formally or informally, for products and services that may be purchased by the firm.

Buying centers

In contrast to the buying center in a firm which tends to operate more on an informal basis, _____________ are formally tasked by management to engage in the decision process for risky and expensive products or services that may be purchased by the firm.

Buying committees

Air filters installed in new trucks at the factory are best classified as __________________, while these same filters when replaced by the owner (a trucking company) are probably ______________.

Component parts, operating supplies.

Jeremy runs a SCUBA diving shop in Cozumel, Mexico. Jeremy has tailored his diving operation to serve serious divers preferring deeper diving profiles and longer dives. His marketing program is geared specifically to attract this type of diver. Jeremy is using which approach to target marketing? Undifferentiated targeting Differentiated targeting Concentrated targeting Custom targeting Focused targeting

Concentrated targeting

When expanding the firm's product mix by adding new product lines the least risky approach is to ensure that these new lines are ___________ existing lines in the mix.

Consistent with

Consumer demand for personal computers or smart devices ultimately determines the demand for the parts and materials involved in the manufacture of each product. This is an example of ________ .

Derived demand

Geographic segmentation bases are typically employed for some products because: Such bases are easy to use Consumer living in different geographic areas, for some products, may have similar wants and needs and other consumption related characteristics There is a strong correlation between consumers' geographic locations and brand preferences The same marketing mix can be employed across a number of geographically defined market segments

Consumer living in different geographic areas, for some products, may have similar wants and needs and other consumption related characteristics

Products purchased by individuals for their own personal or household use are called:

Consumer products

Apple's introduction of the iPhone 6 can be considered a _____________ .

Continuous innovation

Apple's introduction of the iPhone X can be considered a _____________ .

Continuous innovation

Bush's Baked Beans recently decided to reposition itself to parents as a "vegetable" that kids will eat and love. In terms of NPD, this repositioning attempt is categorized as a(n) _____________.

Continuous innovation

By far the most common category of new products is the ___________.

Continuous innovations

Clothing manufacturer Van Heusen produces lines of it apparel specifically targeted to consumers who visit its factory outlet stores. These lines are slightly low in quality and sell at significantly lower price points. In terms of NPD, this repositioning attempt is categorized as _____________.

Continuous innovations

Line extensions, flanker brands, and brand extensions are classified as:

Continuous innovations

Most private label products added to retailers' product portfolios are derived from existing brands already produced by other Firms. Such "new to the Firm" products are examples of __________.

Continuous innovations

The Chevrolet CAMARO and Ford MUSTANG have undergone major redesigns in the last decade to improve sales, profits, market share, and brand image. In terms of NPD, these repositioning attempts are categorized as _____________.

Continuous innovations

As a mechanism for services differentiation, Bonded Inspections of Dallas specializes in non-destructive testing by using an array of innovative technologies in gamma ray, ultrasonic, magnetic particle, x-ray, and phased array penetrant systems wielded by a team of highly trained employees. Bonded clearly differentiates itself with:

Continuous service innovation

Since consumers are more likely to brand-switch, marketers advertise their brands extensively in mass media. Advertising costs are normally initiated and paid for by the product's manufacturers to create top-of-mind brand awareness via a "pull effect." This description applies primarily to _______________ goods.

Convenience

The 'staple good' is most closely associated with the _____________ category of products.

Convenience goods

Which of the following products is characterized by the requirement for 'intensive distribution.'

Convenience goods

________________ are purchased with little effort and include most products purchased in grocery stores, convenience stores, hardware stores, drug stores.

Convenience goods

When video games were first introduced, they were played on 16-bit game computers. As soon as the 32-bit machines were introduced, sales for the 16-bit games and players quickly fell. The 16-bit product category entered the _____ stage of its product life cycle.

Decline

Which of the following is not a step in the recommended process for developing a brand positioning strategy? Define the firm's mission Determine the competitive set Determine position relative to competitors Identify important areas of competitive difference Develop marketing mix to convey the position

Define the firm's mission

Individual firms in an industry usually cannot successfully raise prices for their products if other firms in the industry do not follow suit. If only one firm raised its prices it probably would result in buyers of the firm's products shifting their purchases to competing sellers. Any single firm that raises price will suffer a decline in sales. This scenario reflects the fact that:

Demand at the industry level tends to be price INELASTIC while demand for the products made by individual firms in that industry is price ELASTIC

Monsanto targeted NutraSweet advertising directly at consumers when it first introduced the product in the early 1980s, even though the product was not available in consumer markets. Monsanto understood that if consumers were convinced of NutraSweet's benefits as a substitute for sugar, they would demand NutraSweet in other products. This example illustrates which characteristic of organizational markets and supply chains?

Demand for organization products is "derived demand"

Procter & Gamble targeted Olean advertising directly at consumers when it first introduced its brand of olestra, even though the product was not available in consumer markets. P&G understood that if consumers were convinced of Olean's benefits as a substitute low fat cooking oil that could actually lower the fat content in foods, they would demand that Olean be incorporated into other products, such as chips and other snacks. This example illustrates which characteristic of organizational markets and supply chains?

Demand for organization products is "derived demand"

During which step in the recommended procedure for developing brand positioning strategies will perceptual mapping be employed? Determine the competitive set Determine position relative to competitors Identify important areas of competitive difference Develop marketing mix to convey the position All of the above

Determine position relative to competitors

Once new product ideas are screened to weed out poor promising ideas, the next step is to:

Develop the ideas into workable 'product concepts' for possible testing with consumers

In commoditized markets, the likelihood of price and market share wars can be reduced if Firms successfully ______________ their brands through their NPD efforts.

Differentiate

AquaWorld is a full service dive shop based at the Park Royal in Cozumel. Dive shop management knows that its clientele possess a diverse range of experience (or lack there-of) in diving. Some clients need a lot of hand-holding, prefer to follow a guide while under water, and usually rent their equipment. In contrast the more experienced divers tend to prefer to venture out on their own and generally use their own equipment. AquaWorld has effectively created packages with appropriate pricing for both types of customer. Apparently, AquaWorld is using a ______________ strategy. Undifferentiated targeting Differentiated targeting Concentrated targeting Custom targeting Focused targeting

Differentiated targeting

Black & Decker produces a number of product lines of power tools. The Black & Decker line targets DIYS (Do It Your Self) consumers, the DeWalt line, a premium higher priced brand, is geared more to professional builders. Porter-Cable, a recent acquisition, is positioned similarly to Black & Decker. The Mac Tools brand targets professional automotive mechanics. Black & Decker treat each line and its associated customers as distinct target markets toward which they direct unique marketing programs. Black & Decker is employing a _____________ strategy. Undifferentiated targeting Differentiated targeting Concentrated targeting Custom targeting Focused targeting

Differentiated targeting

The rate at which new products are adopted by users throughout a particular market, population, nation, or global region is ____________.

Diffusion

____________ innovations are significant improvements on their parent innovations, but not nearly as disruptive in terms of the amount of re-learning involved to adopt the innovation for personal use. Examples include notebook computers, DVRs, commercial and military jet aircraft, and digital photography.

Dynamically continuous innovations

Which of the following is not considered a type of organizational market?

Employees of non-profit organizations who buy products for personal consumption.

Products such as flour, chemical additives of various types, steel, and aluminum ingots are usually classified as:

Fabricating materials

___________ are manufactured products that have undergone substantial processing before they are incorporated into more complex products. However, these products will undergo additional extensive processing as they are made into new products. As a result of this additional processing, these products lose their original shape and or become unidentifiable as a unique component of the final product.

Fabricating materials

The requirement that market segments be "actionable" includes all of the following except: Firms have the financial resources to target the market segments desired Firms' employees possess the necessary skill sets to capture sales in the desired segments There exist adequate media channels to communicate with customers in targeted segments There exist proper distribution channels to move products into the hands of consumer in targeted segments Firms can effectively differentiate their products from those of competitors in targeted segments.

Firms can effectively differentiate their products from those of competitors in targeted segments.

Some firms find it attractive to target "niches" because: There are more potential customers in niches. Niches are typically larger and, therefore, attract more competitors. Firms can gain a competitive advantage by 'specializing' on serving the more narrowly defined needs of customers in niches. Customers in niches tend to possess more variation in wants, needs, and demographic characteristics making it that much easier to develop marketing programs that will fit the requirements of at least some customers in the niche. None of the above

Firms can gain a competitive advantage by 'specializing' on serving the more narrowly defined needs of customers in niches.

The nested segmentation process employed by Caterpiller to segment its markets is based on: Hierarchical structures analysis Proprietary sophisticated statistical methodologies Perceptual mapping Managerial judgement None of the above

Hierarchical structures analysis

Sellers of organizational products generally try to ultimately target key decision makers with their sales presentations. However, they must first get through the various clerks, administrative assistants, and lower-level purchasing personnel who are performing which role in the buying center?

Gatekeeper

The role in the buying center that tends to control the flow of information between personnel in the buying center is:

Gatekeeper

Consumers in some European countries prefer to buy top-loading clothes washers, while consumers in other Europeon countries prefer front-loaders. In developing its strategy for marketing to these nations, LG had to implement a ____________ segmentation to make sure that its washers suited the tastes of the consumers in each of the European countries. Demographic Behavioral Usage-rate Geographic Psychographic

Geographic

In 2013 approximately 60% of CAT's sales of heavy construction equipment came from international markets. CAT's global markets are divided into North America, Latin America, Asia-Pacific, Canada, and EAME (Europe, Africa, Middle East) classifications. These broader areas are further segmented into smaller locals to identify the best ways to compete against local and other global competitors. CAT is apparently employing a _______________ segmentation approach. Demographic Global NAICS Geographic Company characteristics

Geographic

Since Texas and a handful of other states have legislated incentives that encourage their states' drivers to buy alternative fuel vehicles, Ford Motor Company has introduced just for those states a full-size truck that runs on natural gas. This is an example of ________________ segmentation. Demographic Behavioral Usage-rate Geographic Psychographic

Geographic

Which of the following is NOT one of the recommended steps toward enhancing your own personal creativity?

Giving yourself

Developing an NPD protocol is a major component of which stage in the NPD process?

Go-to-market strategy

Consistent with the ___________ most intangible services contain a product component, just as many tangible products contain a service component. There may be no such thing as either a pure service or pure product.

Goods-services continuum

Cappio was the first canned ready-to-drink coffee on the market. It had to create the demand for the product category. As soon as demand for the product was shown to exist, Coke and Pepsi began promoting their own brands of canned, ready-to-drink coffee. During which stage of the product life cycle would you expect to see competitors like Coke and Pepsi entering the market for this product?

Growth

Developing selective demand for brands is a fundamental objective of the _______________ stage of the PLC.

Growth

During the _____ stage of the product life cycle, both sales and profits rise, numerous competitors enter the market, and sellers use promotional programs to stimulate demand for their brands.

Growth

The adopter categories called the early majority and late majority are targeted beginning in which stage of the PLC?

Growth

Campbell's Soup Company recently ran a series of ads on TV in which a variety of new recipes for its soups were featured. This strategy generally is employed for products that are at the ______ stages of the PLC.

Growth & maturity

Which of the following firms engage extensively in brand licensing?

Harley-Davidson

You are the brand manager for Tide (P&G brand) and are considering ways to revive lagging sales. Recognizing that your brand and the product category as a whole are 'mature,' you are examining several strategic options. Which of the following is least likely to be a viable alternative to accomplish your sales goals?

Harvest the brand.

Coke insists that wait-staff in restaurants selling only Pepsi products ask patrons if "Pepsi will be OK?" when the customer requests a "Coke." This is done primarily to:

Help prevent the 'Coke' brand from being declared 'generic.'

THE MANAGERIAL JUDGEMENT-BASED APPROACH to market segmentation in which managers employ as series of segmentation bases in sequence to achieve a workable segmentation scheme is called: Hierarchical structures analysis Proprietary sophisticated statistical methodologies Perceptual mapping Managerial judgement None of the above

Hierarchical structures analysis

Purchases for ____________are unplanned. Decisions to buy the product type and brand are made on the spur of the moment as consumers are ostensibly shopping for other products.

Impulse

With respect to requirements for effectively segmenting markets, ________________ means that consumers within markets are similar to one another on key consumption-related characteristics. Actionable Homogeneous within Heterogeneous between Accessible Differentiated

Homogeneous within

Consumers within market segments should be more similar to one another on key consumption-related characteristics than they should be with consumers in other segments. This requirement for effectively segmenting markets is referred to as: Actionable Large, measurable, profitable Homogeneous within, heterogeneous between Accessible Differentiated

Homogeneous within, heterogeneous between

The classification scheme for consumer products divides these products into three basic categories defined by:

How much effort is expended in the purchase process

The classification scheme for organizational goods is based on:

How the product is used in the firm

'Check sheets' and weighted point evaluation models are most likely to be employed in which stage of the new product development process?

Idea screening

Value analysis is most likely to occur at which stage in the organizational decision process for products?

Identification of specifications

With respect to straight rebuy decision for office or janitorial supplies, all that may be required is identification of quantities needed. Which stage of the purchasing decision process is implied?

Identification of specifications

To reverse a downward trend in sales, Mazda introduced its MPV minivan. Mazda positioned its van as a cross between a standard minivan and a sport utility vehicle. Mazda knew that it needed to use a market segmentation strategy to correctly target the MPV. The first thing Mazda had to do when it segmented the automobile-buyer market was to: Identify the current and potential needs of the market (assuming that a benefit segmentation base is desirable). Develop several prototypes Identify the characteristics that distinguish each segment Modify the company's mission statement to bring it in line with its new segmentation strategy Do test marketing to determine what customers in the segments really like.

Identify the current and potential needs of the market (assuming that a benefit segmentation base is desirable).

Which of the following best explains why the Kroger supermarket chain markets its own line of canned fruits and vegetables under the Kroger private label?

Kroger can sell its brands at prices below those of producers' brands and still earn satisfactory profits.

Melissa is an engineer with Peterbuilt and regularly participates with others to DETERMINE specifications for parts and materials that will be used in Peterbuilt's production processes. Melissa' role in the buying center at Peterbuilt is that of a(an):

Influencer

SUPERVISORY PERSONNEL, research and design specialists, and engineers who assist in determining specifications and defining other criteria for use during the purchase decision-making process usually perform which role in the buying center?

Influencer

__________ refers to an overall process whereby inventions are transformed into commercial products that can be sold profitably.

Innovation

The adopter category typically targeted first during the introductory stage of the PLC is:

Innovators

When a trucking company buys more trucks to haul goods for its customers or an airline company buys more jet-liners to ferry people from place to place they are purchasing ___________ .

Installations

________ consist of capital items, such as buildings, dams, and major production line equipment. These products are typically expensive, capitalized on balance sheets, depreciated over time, and contribute substantially to the firm's scale of operations.

Installations.

Distributors' brands are owned and primarily marketed (promoted) by:

Intermediaries (middlemen)

The adopter categories called innovators and early adopters are targeted primarily during which stage of the PLC?

Introduction

The transition of a product into the decline stage of its PLC is most likely a result of:

Introduction of a new, substitute technology.

___________ means creating something that is new or unique.

Invention

In some cases, governmental agencies may use mailing lists of firms that have previously contacted governmental buying offices and indicated their desire to be included in future solicitations. Based on these mailing lists, ______________ are sent directly to interested firms.

Invitations to bid

As described by the product life cycle, the profit curve for most new products:

Is negative through most (perhaps all) of the introductory stage of the product life cycle

The gasoline-electric vehicle marketed by Honda apparently is viewed negatively by many Texans because it doesn't fit their expectations of power and performance. Apparently, the new Honda may be slow to diffuse in the market because:

It lacks value compatibility.

How might Whirlpool benefit if appliances it manufactured were sold at Sears under the Kenmore brand name?

It would allow Whirlpool to do all of the above.

The brand identifier consisting of the total visual graphic image, which can include the logotype, is called the

brand mark

Al works as a cement finisher for a parking lot repaving company. He is suspicious of innovation and innovators. He was one of the very last people in the small Western city in which he lives to buy a microwave oven. When it comes to the adoption of microwave ovens, Al is in the _____ category.

Laggards

Firms are engaging in brand extension strategies when they:

Launch new products bearing their family brand into a different product category.

Which of the following is not true about leasing arrangements made by organizational buyers for products?

Lease agreements typically cover a longer timeframe than purchases of equivalently products.

Brand product life cycles generally are more erratic in shape and duration than are product category life cycles because:

Life cycles for product categories are not affected by changing marketing environments

Most consumers know that they must exercise to get into better physical condition. But many worry about what they look like while exercising. Some consumers also may want to exercise at odd times of the day when most gyms are closed. Advertisers of home fitness equipment have taken particular advantage of these facts. They are, in part, probably using ________________ segmentation. Geographic Life-style Usage occasion Usage-rate Demographic

Life-style

The positioning strategy usually employed for products such as cigarettes which deliver no real benefits to consumers tend to focus on using ___________ dimensions. Lifestyle Income Age Usage Occasion Consumption or usage rate

Lifestyle

When using __________ positioning, firms attempt to develop associations between the brand and some desirable human state of existence by exploiting relationships that already exist in consumers' minds between the desirable state of existence and the consumer's ideal or actual self-concept. Comparative Competitive Brand Lifestyle Benefit

Lifestyle

____________ positioning is most common for products such as expensive perfumes, colognes, designer clothes and jewelry, and cigarettes. Comparative Competitive Brand Lifestyle Benefit

Lifestyle

Inventories of AIO-related questions on surveys are employed to identify groups of consumers with common AIO profiles. These groups typically can be treated by marketers as: Lifestyle segments Geographic market segments Mass markets Demographic segments Benefit segments

Lifestyle segments

The term AIO stands for a series of measures designed to assess consumers' ____________. Self-concepts Brand attitudes Demographic traits Lifestyles Cultural values

Lifestyles

The requirement that a new product (innovation) BE REASONABLY EASY to understand and use means that the new product possesses ____________ .

Low complexity

Once a firm identifies relevant market segments within a larger, more heterogeneous market it then must determine which market segment or segments to pursue. This is the process of: Market segmentation Market targeting Market definition Market aggregation Market Positioning

Market targeting

___________ is the upper limit of the demand for specific goods or services that exists within a particular industry. It represents the amount of a product that potentially could be sold by all firms (taken together) in an entire industry.

Market potential

___________ can be viewed as the process of aggregating "similar" consumers or organizations based on similarities in their consumption, demographic, attitudinal, and psychographic characteristics. Market definition Customer aggregation Market opportunity analysis Market segmentation Market targeting

Market segmentation

_______________ is the process of subdividing heterogenous consumer or organizational markets into more homogeneous submarkets. Market definition Customer aggregation Market opportunity analysis Market segmentation Market targeting

Market segmentation

_______________ is the process of subdividing heterogenous consumer or organizational markets into more homogeneous submarkets in which members share common consumption, demographic, psychographic, and attitudinal characteristics. Market definition Customer aggregation Market opportunity analysis Market segmentation more homogeneous submarkets in which members share common consumption, demographic, psychographic, and attitudinal characteristics. Market targeting

Market segmentation more homogeneous submarkets in which members share common consumption, demographic, psychographic, and attitudinal characteristics.

Which of the following is normally the longest stage of the product life cycle?

Maturity

From a consumer's point of view, branding:

Means getting comparable quality with each purchase.

The category of variables used in profiling market segments that tells marketers the best places to put their communications about their products and brands is: Demographics Lifestyles Self-concepts Attitudes Mediagraphics

Mediagraphics

To effectively segment markets, several conditions must be met. Which is the exception? Segments should be "homogeneous within" and "heterogeneous between" Segments must be large enough to be profitable Segments must be accessible via communications and distribution channels Firms must have adequate resources to target these segments Members of segments must be concentrated geographically to be actionable.

Members of segments must be concentrated geographically to be actionable

According to Strutton and Thompson, which of the following levels do exist within a brand?

Metaphysical brand characteristics

The smallest operational market segment is referred to as a: Macro-segment Micro-segment or niche Aggregate market Mass market

Micro-segment or niche

Tara Foods of Georgia produces a wide range of peanut butters and food extracts, but does not sell any of its output under its own brand name. Tara evidently produces __________ .

Middlemen's brands

A manufacturer has upgraded its assembly line to one that uses automated, robotic equipment. The decision was time consuming and complex. However, given the valuable experience decision makers compiled from this decision, future decisions to upgrade the line should not be so extensive. These future decisions probably will fall into which buy class?

Modified rebuy decision

James is a purchasing agent for Peterbuilt and has responsibility for purchasing and stocking MRO items employed to maintain Peterbuilt's office facilities. James normally automatically reorders from the same vendors when supplies run low. However, the current vendor has not been performing as expected. Deliveries have been delayed and quality of some items has not been up to speed. James probably will initiate a(n):

Modified rebuy decision

Which of the following in least important for firms seeking to manage their services brand?

Monitoring and responding to changes made by direct competitors.

Lumber companies, such as Weyerhaeuser, that buy trucks, bulldozers, and other equipment for forest harvesting and milling are engaged in the production of lumber products that will be sold commercially. Such companies are categorized as _______________ .

Other producers or business users

Organizations such as churches, universities, hospitals, charities, and political parties are generally classified in which organizational market?

Non-business

Airlines, hotels, theaters, and restaurants reduce prices during slow periods to shift demand away from peak consumption periods where the danger exists that all service requests may not be honored. This pricing strategy is called:

Off-peak pricing

When products are purchased that will be used to operate an organization or will be made into products, these products are called ______________ .

Organizational products

When BP buys drilling equipment and ships for the exploration, extraction, and shipment of oil it is in which type of organizational market?

Other producer

Which of the following best describes the primary distinction between component parts and fabricating materials?

Parts undergo little or no additonal processing as they are combined into the larger product. The parts are always uniquely identifiable

The primary pricing strategy(ies) employed by firms during the introductory stage of the PLC is (are):

Penetration Pricing

When introducing a new product, if the firm wishes to BUILD market share rapidly during the introductory phase of the PLC, it probably should employ a _________ pricing strategy.

Penetration pricing

_____________ is a useful tool for determining brand positions in consumers' perceptual space. The tool employs survey data in which a sample of consumers rate a number of brands on key attributes. A computer algorithm then is used to map the brands relative to one another and to the rating attributes employed in the survey. Mind mapping Brand mapping Brand-attribute mapping Competitive mapping Perceptual mapping

Perceptual mapping

Which of the following forms of promotion is most closely linked with the ability to solidify brand image for the firm's services?

Personal selling

The 'level of product' that is associated with the product's brand name, features, style, inherent quality and reliability, and functionality is called the:

Physical product

A product or brand ____________ is the mental representation of that product or brand in consumers' minds. Position Relationship Attitude Representation Symbol

Position

When marketers ____________ brands they are essentially creating personalities for those brands telling to consumers what the brand stands for with respect to such things as important attributes, benefits, and competing brands. Market Target Promote Position Endorse

Position

When marketers select key elements of the physical, enhanced, and affective brand levels to emphasize in their promotions, they are attempting to structure the ______________ of the brand in consumer's minds.

Position

Buyers can elevate their social status, or social class positions, by purchasing and displaying _____________ goods that "lesser" others can directly or indirectly observe, but probably cannot purchase for themselves.

Positional

______________ goods are things or experiences that are valuable largely because other people cannot have or enjoy them. Examples include expensive paintings, sculptures, very expensive fine wines, and extremely expensive stays in luxury hotels.

Positional

____________ involves creating a personality for a brand that makes a statement to consumers about what the brand stands for with respect to such things as important attributes, benefits, and competing brands. Marketing Targeting Promoting Positioning Endorsing

Positioning

____________ involves creating a personality for a brand that makes a statement to consumers about what the brand stands for with respect to such things as important attributes, benefits, and competing brands. Marketing Targeting Promoting Positioning Endorsing

Positioning

When total revenue (price x quantity sold) increases as price decreases, demand is said to be ____________ .

Price elastic

_____________ measures how much the demand for a product changes (up or down) as the price for that product increases or decreases.

Price elasticity of demand

Due to shortages in raw materials, all firms in the micro-chip industry increased their prices to their customers. Yet demand for chips did not change. This suggests that the demand for micro-chips is _____________ under these conditions.

Price inelastic

A firm that wants to sustain its revenues should engage in new product development because:

Products inevitably pass through a life cycle that culminates in the demise of the product.

SONY CORPORATION conducted a series of consumer use tests in the 1990's in which consumers were given samples of its experimental digital camera. Participants were instructed to use the camera for all their picture-taking for the next 30 days. At the end of that time, participants were asked to a focus group session in which they were encouraged to elaborate on their usage experiences. Sony hoped that ideas for product modifications would emerge from the focus group that could be incorporated into the camera's final design. Sony was most likely employing which new product idea generation technique?

Problem analysis

In terms of the product life cycle, the soft-drink market is basically a mature market. There are still many profitable small regional soft drinks, such as Big Red, Cheerwine, and Vernors. What type of product strategy would you expect these small bottlers to use?

Product differentiation

Colgate produces a wide range of toothpastes, mouthwashes, toothbrushes, and related oral care products. With respect to product mix terminology, each of these categories of products within Colgate's portfolio are considered to be a(n):

Product line

With respect to product mix terminology, a firm's closely related product items in terms of characteristics and function are referred to as:

Product lines

All of the products offered for sale by a firm characterize its:

Product mix

Taken together, all individual product items produced and sold by Nabisco comprise its:

Product mix

The Clorox Company, a manufacturer of bleach, has added a line of bleach-free disinfectant wipes for cleaning up spills and sticky fingers. With the addition of the Clorox disinfecting wipes, the firm has changed its:

Product mix width or breadth

A furniture manufacturer may choose to buy wood and other materials from a producer who, in turn, agrees to furnish its office with furniture produced by the manufacturer. This situation is an example of ___________ .

Reciprocity

Governmental agencies normally use ___________to solicit qualified suppliers to submit bids for needed products and services. The request typically contains all purchasing requirements, specifications, and deadlines that must be satisfied

Requests for proposals

The Department of the Navy in its efforts to better equip its SEAL teams to fight the global war on terrorism want to design a silent, maneuverable, defensible underwater delivery system. There are only a few firms that are qualified to build such systems. The Navy will probably employ negotiated contracting for the purchase and will initiate the process using:

Requests for quote

One of the difficulties with using family branding is that the strategy:

Requires a great emphasis on consistent quality

Lucas is marketing manager for Monster, a producer of energy drinks. A primary market segment targeted by Monster is the fitness market. Lucas estimates that the size of this market exceeds $6.3 billion per year. In addition, Lucas estimates that Monster can garner 12% of this market, worth about $.756 billion. The lower estimate of $.756 billion is ________ . The market potential Monster energy drinks The actual demand for Monster energy drinks The profit potential for Monster energy drinks Sales potential for Monster energy drinks Customer potential for Monster energy drinks

Sales potential for Monster energy drinks

Which of the following is not a category of variables commonly used to profile market segments once these segments are created? Demographics Psychographics Mediagraphics Satisfaction indexes Geographics

Satisfaction indexes

_______ generally include clothing, jewelry, automobiles, electronics, homes, major appliances, small appliances, recreational equipment, and gifts.

Shopping

Organizational buyers benefit from __________ because it substantially reduces the cost of maintaining inventory of MRO items, reduces the time spent on supplier selection decisions, and offers price protection over the term of the contract.

Systems contracting

"Exclusive distribution" is most associated with the distribution of ____________ goods.

Specialty

Advertising themes for ____________ goods generally focus on status and prestige. Attempts at comparative advertising have little effect on changing consumers' attitudes toward their preferred brand because pre-existing attitudes toward preferred brands are simply too strong.

Specialty

Consumers typically possess very strong brand preferences for ___________ goods. When such brand preferences exist, the consumer will accept no substitutes.

Specialty

In-store promotional stimuli, such as displays, shelf coupons, and point-of-purchase promotions are least likely to influence consumers' purchases of _____________ goods.

Specialty

_____________ goods are distributed on selective or even "exclusive" bases. A limited number of retail outlets, often only one or two, in a geographic area may be employed. Close, cooperative working relationships are developed with retailers in ways that are intended to mutually benefit producers and retailers.

Specialty

Candice insists on buying only Revlon cosmetics. Rather than purchasing other brands when Revlon is not available, Candice will postpone her purchase or drive substantial distances to find her preferred brand. To Candice, Revlon is what marketers refer to as a (select the best answer):

Specialty good or product.

__________ are regularly purchased and consumed for basic lifestyle maintenance. Consumers typically restock these goods when visiting supermarkets. These goods routinely end up on shopping lists.

Staple

Decisions for organizational products that are usually made by purchasing agents and for which the purchase order may simply be placed with existing vendors that usually supplies these products is the:

Straight rebuy

James is a purchasing agent for Peterbuilt and has responsibility for purchasing and stocking MRO items employed to maintain Peterbuilt's office facilities. James normally automatically reorders from the same vendors when supplies run low. This is an example of what type of organization purchase decision?

Straight rebuy decision

With the searching for and qualifying vendors stage of the organizational decision process, vendors are often selected from pre-approved vendor lists. This probably is most often encountered with:

Straight rebuy decisions

Organizational buyers often seek to purchase "total solutions" to their procurement problems by contracting with a single vendor who, may in turn, subcontract aspects of the contract to other vendors. This trend is called __________ .

System buying

When the US Navy contracts with a single weapons system manufacturer for a new complex carrier defense system and that manufacturer subcontracts production of some components of the system to other manufacturers, the Navy is engaging in ________________ .

System buying

_______________ applies to marketing supplies of Maintenance, Repair, and Operating (MRO) items. Firms contract with suppliers of these items to provide for their entire MRO needs.

Systems contracting

The breadth or width of a firm's product mix refers to:

The number of product lines carried.

Which answer is not correct: Brands tell customers:

The price of a product

Mass marketing (as contrasted with market segmentation) is most likely to be a viable strategy when: The market contains a large number of competitors, all of whom target one or more specific market segments within the overall product/market. The product is in the decline stage of its life cycle and competitors are systematically leaving the market. The product is in the introductory stage of the life cycle. Few competitors exist, the product is rather undifferentiated, and consumers' wants & needs are rather basic or simple with respect to the product in question. The product is highly differentiated, with characteristics and benefits that appeal to a limited number of people in the overall product/market. None of the above

The product is in the introductory stage of the life cycle. Few competitors exist, the product is rather undifferentiated, and consumers' wants & needs are rather basic or simple with respect to the product in question.

WHEN YOU WORK OUT AT A HEALTH CLUB, you receive no takeaway, except perhaps feelings of accomplishment, exhaustion or both. This reflects which characteristic of services?

Their intangibility

Many professional service providers charge for missed appointments. This practice reflects what characteristic of services?

Their perishability

Services cannot be stored. If unsold the service is lost. This reflects which characteristic of services?

Their perishability

Which of the following is not characteristic of services?

Their quality

The fact that services are performed by individual providers makes the service experience may be different from customer to customer or to the same customer over. This reflects which characteristic of services?

Their variability

The first four steps in the new product development process are particularly critical because:

These stages deal with ideas or 'concepts on paper' and are the least expensive steps.

A _____ is any brand identifier that is given legal protection because, under the law, it has been developed and supported by one seller.

Trademark

Making yourself more creative involves "capturing yourself." This simply means recording your ideas rather than letting them slip away.

True

One of the difficulties with using family branding is that the strategy requires a great emphasis on consistent quality.

True

There are many products sold that bear the Harley-Davidson brand, however Harley-Davidson does not manufacture these products. Instead, Harley-Davidson allows other manufacturers to use its brand name in return for royalties on the sales of these products. Harley-Davidson is apparently employing a brand licensing strategy.

True

True or False: Gatorade is normally promoted as a sports drink for replenishing lost electrolytes after a hard workout. However, Gatorade has aired ads that position the brand for use at other times. Some Gatorade ads promote its use during cold and flu seasons as an aid in replenishing lost fluids due to illness. Gatorade is employing a usage occasion positioning strategy.

True

_____________ assumes that no viable differences exist among market segments. Firms treat the market as comprising a single segment and employ a single marketing mix approach that appeals to a broader customer spectrum. Undifferentiated targeting Differentiated targeting Concentrated targeting Custom targeting Mass targeting

Undifferentiated targeting

For many people, soft drinks are coffee substitutes; an alternative morning "wake-up" call. Recognizing this trend, Coke offered its local bottlers a canned advertising program titled "Coke in the Morning." The advertising was essentially employing ______________ positioning. Usage occasion Competitive Brand Lifestyle Benefit

Usage occasion

Gatorade AM is targeted to consumers who desire an energy drink in the morning instead of traditional coffee or tea. Gatorade is clearly trying to increase consumption of its brand by targeting additional _____________ segments. Usage rate Usage occasion Benefit Lifestyle Self-concept

Usage occasion

In the early 80s a highly ambiguous ad for Heineken Beer with the caption, "Come to think of it, I'll have a Heineken." The picture was of a cold bottle of Heineken with water dripping down its length. The positioning strategy suggested in this ad was ____________ positioning. Usage occasion Competitive Brand Lifestyle Benefits

Usage occasion

When marketers segment consumer markets into heavy, light, and moderate users of products they are employing a ____________ segmentation scheme. Usage rate Usage occasion Benefit or attribute Demographic Psychographic

Usage rate

With respect to market segmentation, the 80-20 principle has been applied to segmenting markets based on: Benefits desired Usage occasion Lifestyle Demographics Usage rates

Usage rates

Consumers are buying _______________ goods when they switch between brands of convenience goods out of boredom or the desire to change. Purchases may have been preplanned in that consumers "knew" they were going to purchase a specific product or brand but changed their minds in-store, deciding to try something different.

Variety-seeking

Firm's wishing to exploit a 'niche' often prefer which type of competitive positioning strategy?

Very different from other brands i.e. positioned far away from other brands to avoid confusion.

The value of a brand based on its image & reputation in respective target markets is

brand equity

A multi-product company launches a new product into a new and different product category and uses the company's family brand for the new product. This is an example of

brand extension

Market skimming is a common strategy employed by firms during the introductory stage of the PLC because of all the following reasons except

consumers are highly price sensitive

Allied Electronics sells a line of household appliances. Sales & profits have been deteriorating & there appears to be no way to revive the product line. Allied has looked for potential buyers of the line, but buyers cannot be found. Allied's next move probably should be to

drop the line

Building selective demand is the primary strategy associated with this stage of the PLC

introduction

The Sony Mavica, when first introduced, was targeted to innovators and early adopters of photographic and/or computer equipment, priced high at around $800 and was distributed in camera, camera retail centers, and in department/specialty stores. Sony's introductory strategy was used in class to illustrate

skimming