MRKT 341 chapter 7
89) ________ occurs when a company uses its existing brand name for new forms, colors, sizes, ingredients, or flavors of an existing product category. A) Line extension B) Co-branding C) Private labeling D) Brand extension E) Clustered branding
Answer: A
9) Which of the following is an example of a convenience product? A) candy B) furniture C) life insurance D) automobile E) refrigerator
Answer: A
11) Major appliances, furniture, and clothing are typical examples of ________ products. A) convenience B) shopping C) unsought D) specialty E) capital
Answer: B
19) Which of the following is an industrial product categorized under materials and parts? A) factory B) cement C) generator D) drill presses E) coal
Answer: B
56) Clorox sells five major product lines including cleaning, household, lifestyle, professional, and international. Together the product lines make up Clorox's ________. A) product length B) product mix C) product depth D) product consistency E) product assemblage
Answer: B
60) Consistency of a product mix refers to the ________. A) number of versions offered for each product in the line B) ways in which the various product lines are related C) number of different product lines the company carries D) total number of items a company carries within its product lines E) total market share captured by the entire product line
Answer: B
82) Flores Fashions promotes its clothing by emphasizing the durability and quality of the fabrics it uses. The company has positioned its brand based on ________. A) product benefits B) product attributes C) beliefs and values D) market share E) brand loyalty
Answer: B
16) Consumer products that the buyer either does not know about or knows about but does not normally consider buying are referred to as ________ products. A) convenience B) unsought C) specialty D) shopping E) industrial
Answer: B
18) Which of the following statements is most likely true about unsought products? A) Unsought products are consumer products and services that customers buy frequently. B) Marketers use aggressive advertising to convince consumers to buy unsought products. C) Unsought products are typically purchased for further processing by industrial manufacturers. D) Compared to convenience products, unsought products are purchased more frequently. E) Unsought products offer many unique characteristics to status-conscious consumers.
Answer: B
3) Howard Schultz, the founder of Starbucks, positioned his bistros as "a third place" between work and home where patrons could share and enjoy a cup of coffee with friends. This illustrates ________. A) an actual product B) a core customer value C) simple bundling D) an augmented product E) complex bundling
Answer: B
73) Service variability means that ________. A) the evaluation of services is subjective and changes from customer to customer B) service quality depends on when, where, and how they are provided C) services cannot be stored for later sale or use D) services cannot be seen, tasted, felt, heard, or smelled before they are bought E) services can be separated from their providers
Answer: B
77) Zappos recognizes the importance of the buyer-seller interaction. They only hire people with an innate "passion to serve" and they go through four weeks of customer loyalty training. This is referred to as ________ marketing. A) horizontal B) interactive C) advocacy D) social E) internal
Answer: B
86) Which of the following is an example of licensing? A) DMX, an electronics manufacturer, acquires Z-Elex, a start-up firm, and sells all Z-Elex's products under the DMX brand name. B) Berry, a fruit juice company, uses a well-known cartoon character to promote the company's line of children's products and pays the creator of the cartoon character a fee. C) XLC, a sporting goods firm, sponsors a number of top athletes in various sports and also hosts the XLC Sporting Achievement Awards. D) ZetaBike, a bicycle manufacturer, teams up with VitaWater, a sports drink producer, to introduce ZetaVita, an energy drink. E) Mason's, a retail chain, sells a number of different products from different manufacturers under the brand name Mason's.
Answer: B
87) ________ occurs when two established brand names of different companies are used on the same product. A) Licensing B) Co-branding C) Private branding D) Franchising E) Brand positioning
Answer: B
23) Business advisory services such as legal or advertising are classified under which category of industrial products? A) supplies and services B) capital items C) raw materials D) materials and parts E) specialty products
Answer: A
46) Many companies are taking a ________ approach today, viewing quality as an investment and holding quality efforts accountable for bottom-line results. A) return-on-quality B) quality level C) performance quality D) conformance quality E) total quality management
Answer: A
91) BerryBerry is a fruit juice company that has traditionally sold three varieties of mixed-fruit juices: DazzleBerry, AquaBerry, and GloBerry. The company wants to add more products to its product line. Which of the following is an example of brand extension for BerryBerry? A) The company introduces BerryBliss, a dried berry snack mix for kids. B) BerryBerry adds a new fruit juice flavor, TangyBerry. C) The company introduces a line of flavored milk and yogurt under a new brand name. D) The company creates a new brand, NatureFresh, for a line of cosmetics based on fruit flavors and colors. E) BerryBerry teams up with SFX, a sporting goods company, to introduce a line of energy bars called BerryBerry SFX.
Answer: A
2) Which of the following is a pure tangible good? A) shampoo B) a spa treatment C) financial advice D) a meal at a restaurant E) a medical check-up
Answer: A
20) Which of the following is an example of an industrial product grouped under capital items? A) factory B) cement C) crude petroleum D) coal E) paint
Answer: A
21) Which of the following is an industrial product categorized under supplies and services? A) coal B) wheat C) lumber D) elevator E) generator
Answer: A
47) A company adding new features to a product will most likely assess each feature's value to customers relative to its ________. A) cost to the company B) performance in the market C) benefits to the company D) cost to the customers E) benefits to the supplier
Answer: A
59) Product mix depth refers to the ________. A) number of versions offered for each product in the line B) ways in which the various product lines are related C) number of different product lines the company carries D) total number of items a company carries within its product lines E) total market share captured by the entire product line
Answer: A
90) Non-Dairy Delight, a manufacturer of soy milk, attracts new customers by adding cinnamon, pumpkin, and vanilla flavors to its traditional product. In this case, the company has developed its brand with ________. A) brand extensions B) line extensions C) multibranding D) new product lines E) co-branding
Answer: B
7) Laundry detergent, candy, magazines, and fast food are purchased frequently by customers. They are examples of ________ products. A) unsought B) shopping C) convenience D) specialty E) industrial
Answer: C
85) Fred's, a national supermarket chain, sells its own brand of items across all categories. Such items are considered ________ brands. A) national B) manufacturer's C) private D) extended E) licensed
Answer: C
1) ________ refer to a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible. A) Co-brands B) Line extensions C) Services D) Pure products E) Horizontal extensions
Answer: C
12) Which of the following is most likely a true statement about shopping products? A) Shopping products tend to be less expensive than convenience products. B) The existence of such products is generally unknown to consumers. C) Shopping products are purchased less frequently than convenience products. D) Consumers typically spend very little time comparing shopping products. E) A life insurance policy is an example of a shopping product.
Answer: C
24) A&B's Smarter Planet campaign markets A&B as a company that provides innovative solutions that improve the world's IQ. This activity of A&B is an example of ________ marketing. A) segmented B) vertical C) organization D) horizontal E) diversified
Answer: C
5) Susan has been redecorating her new condo for a year. She is carefully selecting every item. Susan finds an oriental rug that matches her color scheme and décor perfectly and purchases it immediately without engaging in comparison shopping. This is an example of a(n) ________. A) shopping product B) convenience product C) specialty product D) industrial product E) capital product
Answer: C
50) In terms of packaging functions, Tiffany & Co.'s robin egg blue boxes ________. A) are primarily used to hold and protect products B) have created confusion in the marketplace C) create immediate consumer recognition D) deemphasize the importance of labels E) stifle brand awareness and recognition
Answer: C
52) A product line is most likely too long if managers can ________. A) decrease costs by adding items B) increase market share by adding items C) increase profits by dropping items D) decrease costs by dropping items E) increase profits by adding items
Answer: C
58) Product mix width refers to the ________. A) number of versions offered for each product in the line B) ways in which the various product lines are related C) number of different product lines the company carries D) total number of items a company carries within its product lines E) total market share captured by the entire product line
Answer: C
74) 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? A) tangibility B) intangibility C) perishability D) variability E) inseparability
Answer: C
93) Sportware, a leading shoe manufacturer, markets sneakers under the brand name "Athletix" and dress shoes under the brand name "Cameo" in order to target the two different market segments. What branding strategy is most likely being used by Sportware? A) brand extensions B) line extensions C) multibrands D) new brands E) co-brands
Answer: C
15) Specialty products are consumer products and services that customers generally buy ________. A) to conduct business B) frequently and immediately C) based on ready availability D) without making comparisons E) with minimal effort
Answer: D
49) Which of the following terms best describes the process of designing and producing a container or wrapper for a product? A) labeling B) positioning C) licensing D) packaging E) branding
Answer: D
10) ________ products are less frequently purchased consumer products and services that customers compare carefully on suitability, quality, price, and style. A) Convenience B) Capital C) Unsought D) Shopping E) Secondary
Answer: D
13) Which of the following is an example of a shopping product? A) toothpaste B) fast food C) laundry detergent D) television E) candy
Answer: D
22) Cement is an example of an industrial product that is categorized under ________. A) capital items B) augmented products C) supplies and services D) materials and parts E) shopping products
Answer: D
25) The use of traditional business marketing concepts and tools to create behaviors that will benefit individual and societal well-being is called ________ marketing. A) person B) green C) non-profit D) social E) traditional
Answer: D
54) Lengthening a product line beyond its current range is referred to as product line ________. A) filling B) strengthening C) mixing D) stretching E) widening
Answer: D
57) Product mix length refers to the ________. A) number of versions offered for each product in the line B) ways in which the various product lines are related C) number of different product lines the company carries D) total number of items a company carries within its product lines E) total market share captured by the entire product line
Answer: D
6) ________ products are consumer products and services that customers usually buy frequently, immediately, and with minimal comparison and buying effort. A) Shopping B) Specialty C) Capital D) Convenience E) Unsought
Answer: D
71) Which of the following is most likely a true statement about services? A) Services can be stored for later sale or use. B) Service quality is not dependent on the provider. C) Services can be easily separated from their providers. D) Service industries vary greatly. E) Demand fluctuation has little to no impact on service providers.
Answer: D
76) Orienting and motivating customer-contact employees and supporting service people to work as a team to provide customer satisfaction is known as ________ marketing. A) social B) organizational C) differentiated D) internal E) interactive
Answer: D
83) Which of the following is a desirable quality for a brand name? A) The name should be unique and difficult to pronounce to ensure legal protection. B) The name should be a common word rather than a distinctive one. C) The name should not suggest anything about the product quality. D) The name should translate easily into foreign languages. E) The name should not be extendable.
Answer: D
84) Xenon, a leading consumer-electronics manufacturing company, markets its products under the company's own brand name. In this case, Xenon has sponsored its products by promoting them as ________ brands. A) licensed B) private C) store D) national E) distributor
Answer: D
92) ________ involves using an existing brand name for a new product category. A) Line extension B) Co-branding C) New branding D) Brand extension E) Multibranding
Answer: D
4) Silkskin Cosmetics is advertising its newest line of eye makeup. Made from all-natural ingredients, the products are hypoallergenic. Silkskin is selling the products in specially designed tubes that make application easier. Which of the following is a core customer value for Silkskin's line of eye makeup? A) the natural ingredients B) the Silkskin brand C) the products' revolutionary packaging D) the hypoallergenic properties of the products E) the desire for having beautiful eyes
Answer: E
53) Denta Clean's decision to add a whitening toothpaste to its current line of toothpastes is an example of product line ________. A) stretching B) widening C) strengthening D) mixing E) filling
Answer: E
72) 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? A) tangibility B) intangibility C) perishability D) variability E) inseparability
Answer: E
88) BerryBerry is a fruit juice company that has traditionally sold three varieties of mixed-fruit juices: DazzleBerry, AquaBerry, and GloBerry. The company wants to add more products to its product line. In this case, which of the following is an example of co-branding by BerryBerry? A) The company introduces BerryBliss, a dried berry snack mix for kids. B) BerryBerry adds a new fruit juice flavor, TangyBerry. C) The company introduces a line of flavored milk and yogurt under a new brand name. D) The company creates a new brand, NatureFresh, for a line of cosmetics based on fruit flavors and colors. E) BerryBerry teams up with SFX, a sporting goods company, to introduce a line of energy bars called BerryBerry SFX.
Answer: E
14) ________ 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. A) Unsought B) Obsolete C) Intangible D) Convenience E) Specialty
Answer: E
17) Which of the following is an example of an unsought product? A) furniture B) laundry detergent C) refrigerator D) toothpaste E) life insurance
Answer: E
48) 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. A) prototype B) paradigm C) framework D) patent E) brand
Answer: E
51) A product line is most likely too short if managers can ________. A) increase profits by dropping items B) decrease costs by adding items C) increase market share by dropping items D) decrease costs by dropping items E) increase profits by adding items
Answer: E
55) Marque, a high-end maker of designer watches, has started making inexpensive watches to take advantage of enormous growth rates in low-end market segments. Marque is most likely engaging in ________. A) franchising B) line filling C) two-way stretching D) upward stretching E) downward stretching
Answer: E
75) Which link in the service profit chain emphasizes superior employee selection and training? A) healthy service profits and growth B) satisfied and loyal customers C) greater service value D) satisfied and productive service employees E) internal service quality
Answer: E
8) Which statement about convenience products is most likely true? A) They are distributed exclusively in only one or a few outlets per market area. B) They are products that consumers rarely consider buying. C) Luxury cars and designer clothes are examples of convenience products. D) Consumers need to make special purchasing efforts to buy such products. E) They are bought by consumers frequently and with minimal comparison.
Answer: E
81) Brands vary in the amount of power and value they hold in the marketplace. Iconic brands like Apple, Google, and Harley-Davidson have achieved substantial brand ________. A) capital B) personality C) perception D) esteem E) equity
Answer: E
