Mktg ch 11

Changes that affect a product's versatility, effectiveness, convenience, or safety are called ___________ modifications. a. functional b. formal c. aesthetic d. quality e. package

a

The ability of a product to provide the same level of quality over time is called a. consistency. b. longevity. c. variability. d. status. e. image.

a

Introducing new products is risky and so is a. performing marketing research. b. keeping tabs on the actions of competitors. c. not introducing new products. d. generating new product ideas. e. addressing customers' concerns about products.

c

A ______ is responsible for a product, product line, or several distinct products in an interrelated group within an organization. a. product marketer b. brand manager c. market manager d. product manager e. line manager

d

In product modification, the first issue to consider is whether a. existing customers can perceive that a product modification has been made. b. the product is modifiable. c. quality is modified. d. modification will make the product more consistent with customers' desires. e. modification will provide greater satisfaction to the consumer.

b

Breakeven analysis is a tool that marketers are likely to employ during the ___________ stage of the new-product development process. a. screening b. concept testing c. business analysis d. product development e. test marketing

c

Which of the following types of product modifications inevitably tend to cause firms to reduce costs in some of the organization? a. Aesthetic b. Operational c. Benefit d. Functional e. Quality

e

Product deletion a. tends to be an easy task for most organizations. b. may be opposed by management. c. involves immediate termination. d. is a matter of indifference to customers. e. usually occurs only with convenience items.

b

During which stage of new-product development does the firm consider profitability? a. Idea generation b. Testing c. Business analysis d. Product development e. Compatibility research

c

Coca-Cola has expanded to Diet Coke, Cherry Coke, and Caffeine-free Coke, to name a few. These are examples of a. product modifications. b. functional modifications. c. aesthetic modifications. d. line extensions. e. product lining.

d

Functional modifications usually require that the product be a. less specific. b. limited to its functions. c. more appealing. d. more technical. e. redesigned.

e

Competitive interference with a test-marketing program is called a. tactical interference. b. jamming. c. test interference. d. squeezing. e. ramming.

b

The test-marketing stage a. is an extension of the screening stage. b. should come immediately after business analysis. c. ensures that the product will not fail. d. is a sample launching of the entire marketing mix. e. prevents competitors from copying the product.

d

An important aspect of many products such as clothing, furniture, shoes, and cars is their physical appearance or a. features. b. product design. c. positioning. d. aesthetics. e. styling.

e

Sales and cost analyses occur most frequently in what stage of the new-product development process? a. Screening b. Product development c. Test marketing d. Commercialization e. Business analysis

c

A complex product development process, including an extensive business analysis to determine the possibility of success, are hallmarks of a a. genuinely new product. b. radically new product. c. new product failure. d. controlled new product. e. market share advance.

b

All of the following are major steps in developing new products except a. test marketing. b. evaluation of competitors' efforts. c. screening. d. business analysis. e. idea generation.

b

Which of the following is the best example of a functional modification? a. Campbell's puts more of a higher-grade chicken in its classic chicken noodle soup. b. A smoke alarm is modified to be more sensitive to smoke at farther distances. c. Motorola uses a battery that allows its cell phones to charge back up more quickly. d. The manufacturer of the primer and sealer, Kilz, introduces an odorless variety. e. Friskies changes the ingredients in its cat food to a taste that is preferred by most cats.

b

A suggested approach to deleting products, in which each product is evaluated periodically to determine its impact on the overall effectiveness of the firm's product mix, is called a(n) a. evaluation study. b. formal evaluation. c. product inspection. d. systematic review. e. reassessment examination.

d

Product ideas are analyzed to determine whether they match the company's objectives and resources during the _____ phase of new-product development. a. concept testing b. idea generation c. business analysis d. product development e. screening

e

A brand manager in a multiproduct firm would be responsible for a. performance of a specific brand. b. all brands within a product line. c. branding the products of the firm. d. all products in the brand-line group. e. all brands made by the firm.

a

Quality modifications are changes that relate to a product's a. dependability and durability. b. effectiveness and versatility. c. price and availability. d. reliability and value. e. value and durability.

a

The overall characteristics of a product that allow it to perform as expected in satisfying customer needs is a. quality. b. consistency. c. durability. d. styling. e. design.

a

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 a. concept testing. b. customer response testing. c. idea analysis. d. test marketing. e. screening.

a

Three major ways in which marketers engage in product differentiation are a. product quality, product design and features, and product support services. b. product quality, product support services, and packaging. c. product support services, product design and features, and product positioning. d. product positioning, product quality, and product management. e. product positioning, product design and features, and product promotion.

a

The major drawback to using aesthetic modifications is a. the cost of the modifications. b. that the value of the modification is determined subjectively. c. the need for redesign of the product. d. a possible decrease in market share. e. that there is no differentiation for the product in the market.

b

A runout policy of product deletion a. lets the product decline without changing the product strategy. b. is an immediate-drop decision. c. exploits any strengths left in the product. d. raises the price of the product continually to secure as much profit as possible before the product is priced out of the market. e. occurs when production cannot keep pace with demand because of material shortages.

c

What step in developing new products involves determining whether the product idea is compatible with company objectives, needs, and resources on a general level? a. Product development b. Evaluation of competitor's efforts c. Screening d. Idea generation e. Business analysis

c

After a company has created a prototype during the product development stage, its performance, or ___________ must be tested. a. appeal to customers b. dependability c. durability d. functionality e. pricing

d

The following organizational approaches accomplish tasks necessary to develop and manage products: market manager approach, product manager approach, and the _________ approach. a. brand manager b. functional team c. multiproduct manager d. special projects e. venture team

e

The members of a venture team come from a. the marketing department. b. a consulting firm. c. the research and development department. d. the production and finance departments. e. different functional areas of an organization.

e

The product deletion process is similar to the ___________ step of the new-product development process because both involve deciding whether the product should be in the product mix based on an assessment of sales, costs, and profits. a. idea generation b. screening c. product development d. test marketing e. business analysis

e

A phase out approach can be best described as a. allowing the product to decline without a change in the marketing strategy. b. exploiting any strengths left in the product. c. immediately dropping the product from the product mix. d. intensifying marketing efforts in core markets. e. stopping production to get rid of material surplus.

a

Changes that affect the sensory appeal of a product by altering its taste, texture, sound, smell, or visual characteristics are called ___________ modifications. a. aesthetic b. functional c. operational d. quality e. feature

a

Early in the commercialization phase, marketers must make decisions about a. warranties, repairs, and replacement parts. b. product features and breakeven points. c. functionality, safety, and convenience. d. the proposed marketing mix variables. e. which ideas to further pursue.

a

In product modification, three conditions must be met to improve a firm's product mix: the product must be modifiable, customers must be able to perceive that a modification has been made, and a. modification should make the product more consistent with customers' desires. b. competing companies should not be aware of planned product modifications. c. modification should change customers' desires to provide greater satisfaction. d. management must perceive the modification as a reasonable and necessary action. e. production costs and materials needed should be limited.

a

A(n) ___________ is the development of a product that is closely related to one or more products in the existing product line but is designed specifically to meet somewhat different needs of customers. a. product modification b. line extension c. quality modification d. functional development e. aesthetic extension

b

__________ is the development of a product that is closely related to one or more products in a firm's existing product line but is designed specifically to meet somewhat different customer needs. a. Quality modification b. Line extension c. Aesthetic modification d. Feature modification e. Product mix modification

b

Dropping an unprofitable product immediately is the best strategy when a. all advertising and promotional efforts have been exhausted. b. customers have a negative outlook on other products. c. losses are too great to prolong the product's life. d. the product's performance cannot be improved. e. there is low compatibility with the firm's business strategies.

c

Why are line extensions more common than new products? a. They are higher risk and more expensive. b. They are guaranteed to succeed in the marketplace. c. They are less expensive and lower-risk. d. They require no market research. e. Modifications to existing products are very easy.

c

The phase of the new-product development process when the organization determines the technological feasibility of producing the product at a cost that results in a reasonable selling price is a. test marketing. b. commercialization. c. concept testing. d. product development. e. business analysis.

d

What is the primary distinction between a line extension and a product modification? a. A product modification results in a completely new product while a line extension is simply changing an old product. b. In both cases an existing product is altered, but the alteration is more dramatic with a product modification than it is with a line extension. c. Line extensions are designed to better meet the needs of the existing market segment while product modifications target entirely new segments of the market. d. With product modifications, the original product is replaced in the product line while both the old and the new products remain in the case of line extension. e. Line extensions are strictly aesthetic changes to an existing product whereas product modifications consist of changes in quality and functionality.

d

Product failure is a concern of all marketers. Which of the following phases of new-product development is best able to measure this concern? a. Screening b. Concept testing c. Business analysis d. Product development e. Test marketing

e