MKT 230 Exam 2 Ch. 7-13
For which of the following products would a consumer most likely use limited decision making?
Hair dryer
R.J. Reynolds markets several brands of cigarettes, including Vantage, Camel, Winston, and Salem. This is an example of which type of branding policy?
Individual
Which one of the following countries will not be included in the data presented in the new industry classification system that is replacing the SIC?
Japan
Business products are classified into the following seven categories according to characteristics and intended uses: raw materials, installations, accessory equipment, component parts, process materials, business services, and
MRO supplies
Many manufacturers that produce their own brand
also produce products for private distributer brands
Ryan is on his way to work when he realizes he has a flat tire. He swings into Sam's Club and has a new tire installed. Ryan's purchase of a new tire in this situation is considered to be
an unsought good
The three major reference groups are:
aspirational, disassociative, and membership
Cognitive, affective, and behavioral are the three major components of
attitudes
All of the following are marketer-dominated sources of information except
friends
Barry Gluckman of WP International, a major marketer of word-processing software, calls the secretary of Renee Dorchette, director of purchasing for MMK, Inc. He sets up an appointment to discuss an upcoming purchase of software. The secretary plays the role of ___________ in this purchase decision.
gatekeeper
Safeway Supermarkets recently placed an order with the Kahn Corporation for hotdogs. The typical weekly order is for 10 cases; however, since the upcoming weekend includes a holiday, this time Safeway is ordering 100 cases of hotdogs. Safeway orders this product on a regular basis. What type of purchase does this week's purchase represent?
modified rebuy
Twin-packs and six-packs are examples of
multiple packaging
Service industries account for ________ of the gross domestic product of most developed nations
nearly three-quarters
During the introduction stage of the successful product, profits are usually
negative and increasing
When service companies change high-contact services into low-contact services, the
service becomes less personalized
The continuum of tangibility goes from _______ on one end to ______ on the other end
service-dominant products; good-dominant products
All of following are elements of the inseparability characteristic of services except that
services are easy to standardize and control
The three major categories of influences on consumer buying decision process are:
situational influences, social influences, and psychological influences
Our society uses many factors, including occupation, educational level, income, wealth, religion, race, ethnic group, and possessions, to group people into
social classes
An organization that decides to buy all of a certain part from the same company is using
sole sourcing
Volkswagen purchases upholstery for the interiors of its vehicles from various suppliers. This upholstery must have a set of characteristics that is expressed by Volkswagen. This set is called
specifications
When Minute Maid mailed out free samples of its new instant drink mix, it was trying to move prospective customers into the ___________ stage of the product adoption process.
trial
During the search for products and evaluating possible suppliers stage of the business buying decision process, marketers sometimes use ____ analysis to examine the quality, design, materials, and possibly item reduction in order to acquire the product in the most cost-effective way.
value
During the growth stage of the product life cycle, marketers must
fortify the product position
Joe is an athlete who plays a variety of sports that all require various athletic shoes. He has a favorable attitude toward Nike shoes. This favorable attitude is called brand
loyalty
Craftsmen tools, sold and branded by Sears, is an example of a ________ brand
private distributer
Why are line extensions more common than new products?
They are less expensive and lower-risk
A Lenovo laptop that has an "intel" logo on its keyboard is an example of
co-branding
Which of the following products is most likely to be purchased on the basis of contract negotiation?
A custom-made bulldozer
Which of the following is the best example of a functional modification?
A smoke alarm is modified to be more sensitive to smoke at farther distances
Which of the following is the fastest growing, most affluent subculture in the United States?
Asian Americans
What is the primary difference between business and consumer buyers?
Business buyers generally make larger orders than consumer buyers
Dannon Yogurt represents what type of product for most consumers?
Convenience
As Lisa eats her morning bowl of Golden Grahams cereal, she reads about the calories, fats, carbohydrates, and vitamins she is ingesting. This information is required by the
Nutrition Labeling Act
Which of the following statements about business buying is false?
Orders in business markets tend to be smaller than those placed in consumer markets
Which of the following consumer decision-making processes will probably be used in purchasing toothpaste?
Routinized response behavior
Shannon Hill needed to buy an airline ticket to visit her parents. She called several airlines to compare rates and chose a flight on Southwest Air Lines because, for comparable prices, it had a better reputation for service. For Shannon, this flight is an example of which type of product?
Shopping
Which of the following products is an example of a manufacturer brand?
Sony TVs
Which of the following is the best definition of product features?
Specific design characteristics that allow a product to perform certain tasks
Select the true statement concerning test marketing
Test marketing is a limited interaction of the product in areas chosen to represent the intended market
What should marketers do to promote the consistency and reliability of their services most effectively?
Train employees and develop standard procedures for dealing with customers
Which of the following best illustrates how a firm an use a symbol to make an intangible product more tangible?
Traveler's Insurance umbrella
A product line is defined as
a group of closely related products that are considered a unit because of marketing, technical, or end-use considerations.
Changing people's attitudes toward a firm and its marketing program is
a long, expensive, and difficult task that may require extensive advertising campaigns
Inelastic demand simply means that
a price increase or decrease will not significantly change the damage of an item
Which of the following is similar for both for-profit and nonprofit marketing?
ability to use effective marketing activities
The three major ways to modify a product include
aesthetic, quality, and functional changes
Morgan is interested in upgrading to a new sofa for her apartment. Morgan looks online to see what new models her favorite sofa brand has available and can get information on the style and color; however, she can't actually sit on the sofa to determine its comfort level. Morgan is able to evaluate the __________ modifications to the sofa, but not the __________ .
aesthetic; functional
Problem recognition occurs when consumer
becomes aware that there is a difference between a desired state and an actual condition
If Ralph Lauren, a designer of fine clothing, authorized Dan River Mills to market a line of sheets under the Ralph Lauren name - this arrangement is an example of
brand licensing
McDonald's Golden Arches are a classic example of
brand mark
Kleenex Boutique is a brand ___________ of tissues made by the Kimberly-Clark Corporation.
brand name
In the United States, toothpaste is sold in tubes and ketchup is sold in plastic bottles. However, in other parts of the world, ketchup and tomato paste are also sold in tubes. If Heinz were to introduce ketchup in tubes in the United States, consumers might have a more difficult time recognizing the ketchup product due to the change in the __________________ .
category-consisted packaging
Business products are
classified according to their characteristics and intended uses.
One disadvantage of test marketing a new product is that
competitors may copy the product
All packaging must at a minimum
comply with the FDA's packaging regulations
The phase of new-product development in which a small sample of potential buyers are presented with a product idea through a written or oral description in order to determine their attitudes and initial buying intentions regarding the product is called
concept testing
Brand name awareness is an important element of brand equity because a familiar brand is more likely to be in a consumer's _____ than an unfamiliar brand
consideration set
To differentiate their products, companies sometimes emphasize the product support services that they offer. This is especially true when
consumer perceive all products in a market to have essentially the same quality, design, and features
Who judges service quality?
customers
The spray bottle for Windex Glass Cleaner could be considered a secondary-use package because
customers can reuse it for other purposes
The stage of product life cycle when marketers consider eliminating products that are not contributing to profitability or the overall effectiveness of a product mix is the ______ stage.
decline
In general, differences between goods and services are determined by the
degree of tangibility
Procter & Gamble makes at least eight different laundry detergents. This is most relevant to the issue of
depth of product mix
Which of the following should be the lease important concern for marketers when selecting a brand name?
developing an advertising campaign to introduce the name
The members of a venture team (sometimes referred to as a cross-functional team) come from
different functional areas of the organization
The marketing channels for services are usually
direct from provided to customers
After purchasing a product, post purchase evaluation may result in cognitive dissonance. Cognitive dissonance is
doubts that occur because the buyer questions whether the decision to purchase the product was right
Sales usually start to decline during the _______ stage of the product life cycle.
end of maturity
All of the following are major steps in developing new products except
evaluation of competitor's efforts
A customer shopping for a fax machine tells a salesperson that it is important for the fax machine to have several attributes. It must use plain paper, be able to make copies, be compatible with all other fax machines, and not require a separate phone line. The buyer has expressed his or her
evaluative criteria
A group of brands that a consumer views as alternatives for possible purchase is a called a(n)
evoked set
A run-out policy of product deletion
exploits any strengths left in the product
Lysol Basin, Tub, and Tile Cleaner and Lysol Disinfectant Spray exemplify
family branding
In which stage of the product life cycle to profits begin to decrease?
growth
When a product experiences an increase in the number of competitors it is usually in the _______ stage of the product life cycle; however, when that competition becomes intense it is in the ______ stage.
growth; maturity
Nathan recently purchased a floor lamp from Wal-Mart. The floor lamp came in a compact cardboard box and assembly was required. This is an example of _____ packaging.
handling-improved
Compared with consumer goods, marketers aiming at business customers
have an enormous amount of information available concerning potential customers
Because of service's ________, standardization and quality are difficult to control.
heterogeneity
Services have basic characteristics: Intangibility, inseparability of production and consumption, perishability, client-based relationships, customer contact, and
heterogeneity
MADD (Mothers Against Drunk Driving) is a nonprofit organization that primarily markets
ideas
According to Maslow's hierarchy of needs,
individuals first satisfy the most basic needs and then try to fulfill needs at the next level up.
Demand for a business product is also known as __________ demand
industrial
When Jiffy-Pop packaged its popcorn in an aluminum skillet, complete with attachable handle, it designed the package to become the cooking utensil. After cooking, the handle was removed and the package became the popcorn bowl. Jiffy-Pop's popcorn in this case is an example of _____ packaging.
innovative
Depending on the length of time it takes them to adopt a new product, people can be divided into five major adopter categories: early adopters, early majority, late majority, laggards, and
innovators
A customer must have a particular brand and will accept no substitutes. This is termed brand
insistence
Flo, the spokesperson in Progressive Insurance TV commercials, is used to symbolize friendliness, reliability, and knowledge of the company's products. The part Flo plays in the promotion is designed to address the ____ characteristic of services.
intangibility
Assignment of meaning to organized information inputs is called
interpretation
The four major stages of product life cycle include
introduction, growth, maturity, and decline
Demand for a business product is _________ when two or more items are used in combination to produce a product
joint
A major determining factor in deciding which type of decision-making process should be used depends on the individual's intensity of interest in a product and the importance of the product for that person. This is known as an individual's
level of involvement
Coca-Cola has expanded to Diet Coke, Cherry Coke, and Caffeine-free Coke, to name a few. These are examples of
line extensions
The width of a product mix is measured by the number of product
lines a company offers
Product deletion can best be described as the process of deleting a product from the product mix when it
no longer satisfies a sufficient number of customers
An attitude is
one's evaluation, feelings, and behavioral tendencies toward an object or idea.
As Brianna walks to classes, she selects, organizes, and interprets the sensations she is receiving through her sense organs. Brianna is experiencing the process of
perception
A brand manager in a multiproduct firm would be responsible for
performance of a specific brand
Demand-based pricing most closely relates to the ______ of services
perishability
Individual influencing factors refer to
personal characteristics of individuals in the buying center
Product specifications are best described as
physical characteristics and level of quality
Business markets are typically divided into four categories. These categories are
producer, reseller, government, and institutional
Schwinn has developed a new bicycle that has the strongest and lightest-weight frame of any bicycle outside of those made for racing. In addition, Schwinn has added several new features to its bike that are attractive to individuals who work as "bike messengers" in large, urban cities. Since no other company makes a bike that has these specific attributes, Schwinn is creating
product differentiation
Three major ways in which marketers engage in product differentiation are
product quality, product design and features, and product support services
In an attempt to attract customers, service marketers often promise great results and satisfaction to customers, but marketers should be careful not to
promise too much and cause customer expectations to be beyond what they can deliver
The development of a person's self-concept is a function of
psychological and social factor
Because practically all marketers provide some services, ___________ typically do not exist in today's business environment.
pure goods
Minerals, chemicals, timber, and agricultural products are considered
raw materials
Bob Denton of Denton Pest Control buys equipment from Allied Tools because Allied hires him to spray its warehouse for insects periodically. This practice is an example of
reciprocity
The three purposes for which individuals or groups can use products in order for it to be considered a business market are
resale, use in daily operations, and direct use in producing other products
A new variety of Doritos is initially introduced in Ft. Worth, Texas; Columbia, South Carolina; Peoria, Illinois; and Spokane, Washington. After its initial success, Frito Lay markets the Doritos in those entire states, then the adjacent states, and finally the entire country. Frito-Lay is using a _____ for its new variety of Doritos.
roll-out approach
Tara finds evaluating a new pair of jeans much easier than evaluating tennis lessons because she can try on the jeans to see exactly how they feel and fit. In other words, the jeans have many _____ qualities.
search
Antonio is planning a trip to Cancun for spring break. He will likely be able to evaluate the hotel's size, amenities offered, and prices by looking at information on its website. However, he won't be able to evaluate the comfort level of the bed or the friendliness of the employees until he actually spends time at the hotel. The type of evaluation attributes Antonio is using before his trip are called _____________ and those he uses during the trip are called ______________ .
search; experience
The United States Navy purchases uniforms from a single supplier. For the last twenty-five years, the trousers purchased from this supplier have not changed and have been bought every six months, in seven different sizes. This example is called a
straight rebuy
A service is usually offered as part of a bundled package of services with a core service and one or more ________ services.
supplementary
The major drawback to using aesthetic modification is
that the value of the modification is determined subjectively
The group of people within a business who are involved in making business buying decisions is referred to as
the buying center
In most service industries, customer-contact employees are
the lowest-paid and least-trained employees
In product modification, the first issue to consider is whether
the product is modifiable
Just Relax Massage Therapists have a large customer base although they do very little advertising. Their promotion strategy relies mostly on
word of mouth
In the consumer buying decision process, the information search stage
yields a group of brands that a buyer views as possible alternatives