Marketing Exam 2

which of the following statements is true about the product life cycle?

growth is a period of acceptace

The new product development process usually starts with ________.

idea generation

________ products are consumer products and services that customers usually buy frequently, immediately, and with minimal comparison and buying effort.

Convenience

________ are tradition-bound, suspicious of changes, and adopt an innovation only when it has become something of a tradition itself.

Lagging adopters

Which of the following statements is most likely true about unsought products?

Marketers use aggressive advertising to convince consumers to buy unsought products.

Which of the following is a social factor that influences consumer buying behavior?

family

The practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations is referred to as ________.

micromarketing

Gold Class target market segments based on country, age, social class, usage rate. It is using

multiple segmentation bases

________ are people within a reference group who, because of special skills, knowledge, personality, or other characteristics, exert social influence on others.

opinion leader

If a product passes both the concept test and the product test, the next step is most likely to be ________.

test marketing

(T/F) Demographic factors are the most popular bases for segmenting customer groups.

true

(T/F) The maturity stage of the product life cycle is characterized by a slowdown in sales growth.

true

(T/F) The moral of the product life cycle is that companies must continually innovate; otherwise, they risk extinction.

true

Which of the following is an approach where firms target a whole market based on common consumer needs?

undifferentiated marketing

Consumer products that the buyer either does not know about or knows about but does not normally consider buying are referred to as ________ products.

unsought

Which of the following is true of perceptual positioning maps?

used to analyze consumer perceptions

Specialty products are consumer products and services that customers generally buy ________.

without making comparisons

________ products are consumer products and services with unique characteristics or brand identifications for which a significant group of buyers is willing to make more effort than usual to purchase.

Specialty

(T/F) Modifying a product is an ineffective strategy in the maturity period of the product life cycle because the product's decline is irreversible at this stage.

false

________ is the degree to which an innovation appears superior to existing products.

Relative advantage

Which of the following is true about the maturity stage?

Sales slowdown

Which statement about convenience products is most likely true?

They are bought by consumers frequently and with minimal comparison.

(T/F) A company or brand image should convey a product's distinctive benefits and positioning.

True

Market segments that can be effectively reached and served are

accesible

When an effective program can be designed for attracting and serving a chosen segment, the segment is best described as ________.

actionable

A ________ is defined as a name, term, sign, symbol, or design, or a combination of these, that identifies the maker or seller of a product or service.

brand

Which of the following types of differentiation is used to gain competitive advantage through the way a firm designs its distribution coverage, expertise, and performance?

channel differentiation

________ is the degree to which an innovation fits the values and experiences of potential consumers.

compatibility

The stage in which product ideas are presented to groups of target consumers physically or symbolically is referred to as ________.

concept testing

A child in the United States is exposed to many values including achievement and success, freedom, individualism, hard work, and material comfort. These are symbolic of American ________.

culture

During the ________ stage of the product life cycle, product sales may plunge to zero, or drop to a low level where they continue for many years.

decline

Pediacertain Pet Supplies, a pet-food company, divides the pet market according to the pet owners' gender, occupation, income, and family life cycle. In this case, which of the following variables has the company used for market segmentation?

demographic

Port Orleans Shipping markets different services to the tourism, defense, and trade segments. The firm designs separate offers for each segment based on their needs. This approach is called ________ marketing.

differentiated

A doctor performing hip surgery on a patient illustrates how a service can be produced and consumed simultaneously. This is an example of which service characteristic?

inseparability

In which of the following stages of the adoption process does a consumer seek information about a new product?

interest

In which stage of the product life cycle will promotional expenditures be significantly high in an attempt to create consumer awareness of a product and its features?

introduction

Which of the following is a psychographic characteristic of a consumer?

lifestyle

Oreo cookies comes out with a dutch letter flavored cookie. This is

line extension

________ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior.

market segmentation

World Skies' Flight 167 takes off at 50 percent capacity. The unoccupied seats cannot be stored for later sale or use. This is an example of which service characteristic?

perishability

A detailed version of a product idea stated in meaningful consumer terms is a ________.

product concept

Taco Bell test marketed Doritos Locos Tacos for three years and developed 45 prototypes. Once the decision was made to launch the new taco shell, it moved into the ________ stage of the new product development process.

product development

Clorox sells five major product lines including cleaning, household, lifestyle, professional, and international. Together the product lines make up Clorox's ________.

product mix

Bass Pro Shops recognizes that outdoors enthusiasts are a diverse group. Likely segments include hunters, campers, and boaters. What is this segmentation method called?

psychographic

A shoe company's ads feature the members of a popular country music band. Product sales increase significantly among the band's fans. From the fans' viewpoint, the band is a ________.

reference group

Which of the following needs in Maslow's hierarchy is generally satisfied last?

self-actualization

Major appliances, furniture, and clothing are typical examples of ________ products.

shopping