Marketing Final
During the concept testing the Fiber One team did, what percentage of daily fiber did they discover the chewy bar needed to motivate customers to buy?
35%
Anon: Which of the following, if true, would strengthen the argument in favor of a price increase?
A change in the environment is likely to stimulate overall demand for Widgets.
Which of the following, if true, would strengthen the case for Stardust 'n' Clay to begin developing organic beauty products?
A growing number of women 18-34 consider the health impact of chemicals found in a beauty product when making a decision to purchase cosmetics
Which of the following, if true, would best support TestPrepWizard.com's decision to focus on high-end private tutoring services?
A significant proportion of the people interested in private tutoring to help them prepare for tests live far from tutors capable of providing high-end service
What are the benefits of philanthropic business?
All of the Above
Which of the following is an example of a company acting socially responsible?
All of the Above
FIZZ: Which of the following questions would be LEAST relevant during the concept testing stage with target consumers?
Are you aware of our company's social responsibility initiatives?
Goldman states Social Responsibility is in turn affecting the company's
Bottom Line
Which of the following involves a company selling a new product with the same name compared to another strong existing brand in its product line?
Brand extension
Which of the following, if true, would strengthen the argument to encourage investors and management to make additional investments to develop Snip?
Choice 2 explains that customer's love the value that Snip is expected to deliver as the product continues in the development stage
Which of the following is defined as two established brand names of different companies being used to market a new product?
Cobranding
Of the following stages of the new-product development process, which typically involves the company's greatest level of financial investment in a new product?
Commercialization
Which of the following, if true, would weaken the argument for developing organic beauty products?
Competitors in this segment are quick to copy any new product innovation and mimic product design.
Doors Inc: Which of the following, if true, would weaken the CEO's argument?
Consumers adopt an operating system primarily because of specific technology requirements.
Which of the following types of innovations requires the customer to change or learn the LEAST?
Continuous innovation
Hershey's Chocolate bars and Band-Aids are both examples of:
Convenience Products
The Federal Fair Packaging and Labeling Act of 1966 were designed to achieve which of the following?
Customers can find useful information on product labels.
Which of the following, if true, would most strongly support a decision by Red Bull to produce a line of enhanced waters?
Energy drink customers and enhanced water customers share many lifestyle characteristics
Which of the following, if true, would most strongly suggest that Red Bull should NOT produce a line of enhanced waters?
Enhanced water drinkers show strong loyalty to existing brands.
Business analysis involves a review of the sales, costs, and profit projections of competing products.
False
Creating a better product than the competition creates is a sure way to achieve success in the marketplace.
False
From a marketing standpoint, an innovation is a product that is entirely new.
False
While a package may help build brand equity and attachment, and may certainly be a part of a brand strategy, it is unlikely to communicate any of these to the customer. Rather, a package helps the customer see the personality of the brand through images, color, designs, and wording.
False
Which of the following relationships between an organization and its customers are most similar to the relationship described above between Apple and Apple's "true believers?"
Harley-Davidson motorcycle customers believe that riding a Harley-Davidson motorcycle makes one independent and powerful.
A profitable traditional airline known for excellent flight service quality is planning to copy Ryanair's business model. The company's Vice President of Operations opposes this plan. Which of the following, if true, would strengthen her argument?
Implementing the new model would make it difficult for the airline to retain its existing customers.
Lanen Corporation: Which of the following, if true, would strengthen the argument for dropping the traditional product line?
Input costs are going to increase as a long-term component supply agreement is coming to an end.
Gamma: Which of the following is the strongest criticism of the competition-based approach for Gamma?
It assumes that competitor's prices were chosen using sound reasoning.
Which of the following conclusions is best supported by the Ryanair case?
It is possible for companies to succeed by offering less value but at rock-bottom prices.
Doors Inc. is a technology company that focuses on creating operating systems, which are the software packages that run everything on a computer. The company is releasing the newest version of its operating system and is deciding on the appropriate pricing strategy. The CEO favors an aggressive market penetration strategy in order to gain market share, even if it means pricing the operating system at a level at which the company would lose money on every sale. Which of the following, if true, would strengthen the argument for adopting a price skimming strategy?
Large organizations are eager to adopt the new version because of improved enterprise functions.
Extensive analysis reveals that if Personal Devices offered Indian customers products at multiple price points, the company would initially earn more profits but damage the brand in the long term. Which of the following, if true, would support the argument that Personal Devices should offer products at multiple price points?
Major stockholders of Personal Devices are primarily motivated by short-term profits.
Anon: Which of the following, if true, would weaken the argument for a price increase?
Market research completed by the company reveals that demand for Widgets is elastic.
Lanen Corporation: Which of the following, if true, would strengthen the argument for keeping the traditional product line?
The demand for such products has not changed much over the past year, and most competitors have exited this business.
A new company selling a variety of energy drinks has studied the case of Apple's "true believers." The company decided to design its marketing campaign to convince customers that buying its energy drinks will make them independent and innovative. It expects to convince a sizeable percentage of the market, who will then promote the company's interests. Which of the following is the strongest criticism of the company's plan?
Marketing alone will not determine the meaning of a brand.
What type of partnerships does Honest Tea pursue?
Partnerships with economically disadvantaged group
Personal Devices Inc., based out of Portland, Oregon, is a manufacturer of premium cell phones. Most of the company's handsets are equipped with high-end features such as large internal memory, sophisticated texting, camera and music functionalities, and data transfer capabilities. The company is planning to enter the Indian market. One of the senior managers argues that a stripped-down, low-priced model, without any extras, could be the starting point. The company can sell additional features added to the base model at higher price points. Which of the following, if true, would weaken the senior manager's argument?
Producing a stripped-down model would alter high-end domestic customers' view of the Personal Devices brand.
Doors Inc: Which of the following observations, if true, would strengthen the CEO's argument?
Profits would come from support, maintenance, and sale of applications that are compatible with the operating system.
Should Lanen Corporation decide to retain the traditional product line, which of the following recommendations would make the most business sense considering the current stage of the product life cycle?
Retain only those products that have a track record of good sales performance.
Which of the following is NOT a tool for assessing service quality?
SEO
Tangibles, reliability, responsiveness, assurance, and empathy are the dimensions of service quality measured through:
SERVQUAL.
Which of the following is a critical component of the new dominant logic for marketing?
Service will be seen as the central deliverable in every exchange.
Which of the following relationships between an organization and its customers is most similar to the relationship between Ryanair and its customers?
Similarly, the exotic vacation resort charges less but forces people to sit through presentations.
Ask the true believers, and they will tell you simply that Apple's products work better and do more, or that they are simpler to use. But Apple buyer behavior has much deeper roots. Apple puts top priority on understanding its customers. It knows that, to Apple buyers, a Mac computer or an iPhone is much more than just a piece of electronics equipment. It is a part of buyers' own self-expression and lifestyle—a part of what they are. When you own a Mac, you are anything but mainstream. You are an independent thinker, an innovator, out ahead of the crowd. The statements above most strongly support which of the following conclusions?
Some customers define themselves in part by the brands they choose.
Which of the following, if true, would most strongly suggest that an enhanced-water product would NOT increase overall profits for Red Bull?
The customers who would purchase Red Bull enhanced water would be likely to reduce their purchases of energy drinks.
Which of the following, if true, would weaken the argument for the introduction of a Fizz energy drink?
Studies indicate that a growing number of consumers perceive energy drink claims as false.
Which of the following, if true, would most strengthen the argument that supports Fizz's decision to introduce an energy drink?
Studies indicate that consumers largely associate the company's products with a healthy lifestyle.
Marketing should focus more on supplying benefits than products.
TRUE
According to Joe Driscoll, what was unusual about the budget for the launch of the Fiber One bars?
The company didn't spend any money on print advertising.
What, from a product life cycle perspective, has been the greatest success of the re-launch of Fiber One?
The company has expanded the once stagnant product into 30 skews across six different divisions.
The Vice President of the company thinks that Fizz should skip the test marketing step. Which of the following situations, if true, would strengthen his argument?
The company licenses an existing energy drink formula that has been successful.
What was an early example of General Mills' reinvention of a product to extend its life cycle?
The company turned its wheat flakes into what is today Wheaties cereal.
Which of the following, if true, weakens the argument to make additional investments to develop Snip?
The economic downturn has led consumers to focus on thrift, making them least likely to replace a working product they already own with a new product that has innovative features.
Personal Devices Inc., based out of Portland, Oregon, is a manufacturer of premium cell phones. Most of the company's handsets are equipped with high-end features such as large internal memory, sophisticated texting, camera and music functionalities, and data transfer capabilities. The company is planning to enter the Indian market. One of the senior managers argues that a stripped-down, low-priced model, without any extras, could be the starting point. The company can sell additional features added to the base model at higher price points. Which of the following, if true, would most strengthen the senior manager's argument?
The majority of India's consumer market is located at the bottom of the pyramid.
A Stardust 'n' Clay product line manager is critical of the organic product line proposal, arguing that sales of these products will come at the expense of sales of Stardust's other beauty products. Her belief is that the new line will pull current customers to a new product rather than bring in new customers for the company. Which of the following, if true, would be the most effective response to this critic?
The profit margin on organic beauty products is much higher compared to the profit margin on non-organic beauty products.
Doors inc. : several senior managers are strongly in favor of a penetration pricing policy. Which of the following, if true, would strengthen their argument?
There are significant economies of scale in production.
Apple benefits from the beliefs of its "true believers" in all of the following ways EXCEPT:
They have lower expectations than other customers, which makes them easier to satisfy.
Which of the following is NOT a strategy that General Mills will likely use to market Fiber One in the future?
They will seek to increase the fiber content to compete with other products.
A profitable traditional airline known for excellent flight service quality is planning to copy Ryanair's business model. The company's Vice President of Operations opposes this plan. Which of the following, if true, would weaken her argument?
Though profitable, the airline has been losing market share and customers to low-cost players at an alarming rate.
Suppose that Red Bull wants to conduct research on how consumers would react to a proposed new vitamin-enhanced water drink in several flavors sold under the Red Bull name. Red Bull currently dominates the worldwide energy drink market. A new line of enhanced waters—akin to Glacéau's successful VitaminWater brand—might help Red Bull to leverage its strong brand position even further. Which of the following questions would most likely have to be answered using marketing research, as opposed to internal information or marketing intelligence?
To what extent would existing Red Bull customers be interested in an enhanced-water product?
Brand storytelling has grown in popularity as many people will spread a compelling brand story online.
True
Progressive's Dual-Channel Marketing campaign was a natural progression to what consumers were doing in other industries?
True
Social Responsibility can be a competitive advantage.
True
Social Responsibility is an internal and external motivator?
True
Which of the following is a national system of product identification?
UPC
Assume that Lanen is one of the top three manufacturers of a line of traditional photographic equipment. One of the other top three competitors recently announced that it is exiting this business. Does this move affect Lanen's decision? Why or why not?
Yes, reduced competition may brighten the product line's prospects.
Gap analysis is a technique used to measure the difference between ________; and, ________.
a customer's expectation of service quality; the delivered service quality
The first telephone is an example of which of the following?
a discontinuous innovation
Which of the following is the best example of a people-based service?
a haircut
An isolated department or facility that is home to a team of people working exclusively on a new-product development effort is sometimes called which of the following?
a skunk works
Progressive's success with Dual-Channel Marketing can be attributed to
a well developed product
Package, brand, and appearance are all aspects of the:
actual product
How has Dual-Channel Marketing helped Progressive's competitiveness?
all of the above
Profile Monogram in GE allows
all of the above
At the lowest level of brand attachment, consumers ________; at the highest level of brand attachment, consumers ________.
are aware of a brand's existence; feel they have a relationship with the product
The Kids' House, a retail store that specializes in children's furniture, includes free delivery and assembly of all of its goods. This is an example of a(n) ________ product.
augmented
In addition to serving utilitarian functions, a package communicates which of the following?
brand personality
Which of the following refers to the process organizations use to adjust their offerings in an attempt to match demand?
capacity management
Which of the following actions would be most likely to jeopardize the meaning of the Apple brand in the eyes of its "true believers?"
collaborating with other media technology manufacturers and producing a standard interface and feature set that would govern future product development
A product mix consists of the high and low ends of a company's product line.
false
Dual-Channel Marketing always delivers a consistent message and focus.
false
Pent up demand is a pessimistic forecast.
false
Search engine optimization is a systematic process of ensuring that Web sites that include unfavorable information about your organization will not appear at or near the top of lists of typical search phrases related to your business.
false
Which of the following is NOT included in the marketing strategy development step of the new-product development process?
generating product ideas
Due to the trend of ________, there is an increasing need for logistics and distribution services to move goods around the world.
globalization
A public health print and television campaign encourages individuals to eat more fruits and vegetables each day in order to be healthier. This is an example of which of the following?
idea marketing
The purpose of screening is to do which of the following?
identify concepts that are unlikely to be commercially or technically successful
Of the following types of adopters, which group is relatively younger, higher in income, better educated, and the most adventurous with new products?
innovators
Services, ideas, people, and places are all examples of:
intangible products.
When a product is first launched, sales growth is likely to be slow. Which of the following stages describes this scenario?
introduction
Fisher-Price and Learning Curve both pay royalties to Nickelodeon to market toys and children's accessories based on or inspired by the popular children's show Go Diego Go. These toys and accessories are examples of:
licensing
Anon: Assuming other factors remain constant, Anon would have the most power to raise prices if Widgets were ________.
life-saving drugs
Which type of product management organization is most likely to be successful for a firm that offers a variety of products that serve the needs of a wide range of customer groups, including consumer and business markets?
market managers
A hotel chain received complaints about long wait times for elevators in its buildings. To address the problem, the hotel placed large mirrors next to the elevators. Complaints decreased as customers waiting for the elevator spent the time examining themselves in the mirror rather than counting the seconds until the elevator arrived. The hotel chain altered a(n):
operational factor.
The most important factor in GE's success is
product
Using ________, a company collects and analyzes very specific customer complaints.
the critical incident technique
A managing agent arranges for an aspiring actor to audition for several television shows and movies. The agent also schedules meetings for her client with a local radio talk show host and regional talent scouts. This agent is using the ________ approach.
pure selling
The functions of packaging include all of the following EXCEPT which of the following choices?
stating comparative pricing
Which of the following is an example of a continuous innovation?
the GE Reveal light bulb that filters out dull yellow rays of light
During the growth stage, sales start climbing quickly and new competitors enter the market.
true
It is important to provide a compelling story for why a product should be bought.
true
The display and positioning of a GE Product in a store can be an assist in increasing sales.
true
