Exam 2 - Chapter 4,7,8,9
In which of the following cases is crowdsourcing used for new product development?
A company creates a forum where anyone can contribute new product ideas.
Which of the following is true of focus group discussions?
Consumers are not always honest and open about their opinions.
________ products are consumer products and services that customers usually buy frequently, immediately, and with minimal comparison and buying effort.
Convenience
________ is the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.
Marketing research
Annie Carson, the owner of Annie's Dairy Bar, is considering opening a second location. She evaluates several potential sites by assessing traffic patterns, neighborhood conditions, and the locations of competitors. Annie is engaging in ________.
observational research
The initial function of a marketing information system is ________.
assessing the information needs of a company
Product planners must build a(n) ________ product around the core benefit and actual product by offering additional consumer services and benefits.
augmented
Which of the following terms best describes the process of designing and producing a container or wrapper for a product?
packaging
As a result of ________, a company cannot make its product illegally similar to a competitor's already established product.
patent laws
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
Some companies are now appointing ________, whose job is to protect consumers from harm and the company from liability by proactively ferreting out potential product problems.
product stewards
Many companies are taking a ________ approach, viewing quality as an investment and holding quality efforts accountable for bottom-line results.
quality level
What are the two main types of research instruments used to collect primary data?
questionnaires and mechanical devices
A practice called ________ allows marketers to use online data to target ads and offers to specific customers.
behavioral targeting
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
Hollingsworth is a retail company that is planning to release a new line of luxury personal care products. Its managers are now reviewing the sales history of similar products and conducting marketing surveys to estimate minimum and maximum sales for the product. In which of the following stages of the new product development process is the product?
business analysis
Under a ________ product development approach, one company department works to complete its stage of the product development process before passing the new product along to the next department and stage.
sequential
A product line is most likely too short if managers can ________.
increase profits by adding items
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.
interactive
Susan Hart, the manager of a children's boutique, collects data from her monthly records of sales, costs, and cash flow. In this case, Susan is making use of ________ databases.
internal
Companies like 3M, Google, and Sony have ________ that encourage employees to develop new ideas.
intrapreneurial programs
Which of the following is an example of an unsought product?
life insurance
Service variability means that ________.
service quality depends on when, where, and how they are provided
Which of the following is a pure tangible good?
shampoo
________ products are less frequently purchased consumer products and services that customers compare carefully on suitability, quality, price, and style.
shopping
________ 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
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) ________.
specialty product
Colonial furniture has been in existence since the 1600s and continues to adorn homes today. According to the product life cycle concept, it would be described as a ________.
style
The first part of a marketing strategy statement describes the ________ of a new product.
target market, planned value proposition, and sales goals
Which of the following is an example of a shopping product?
television
Causal research is used to ________.
test hypotheses about cause-and-effect relationships
Foods International is developing a new gluten-free, chili-flavored pretzel. The marketing strategy for the product has already been developed and presented to top management. Several prototypes were also formulated by the company's R&D team. The final prototype is now being tested rigorously to ensure that it passes FDA standards. Once approved, the next step will most likely be ________.
test marketing
Which of the following demonstrates the real value of a company's marketing research and information system?
the customer insights it provides
Product mix length refers to the ________.
total number of items a company carries within its product lines
Specialty products are consumer products and services that customers generally buy ________.
without making comparisons
Erica Jenson has a limited budget to conduct market research. Which of the following research approaches would provide Erica with the most cost-effective way to reach a large number of respondents in a short period?
Internet-based surveys Your answer is correct.
A firm has a huge amount of individual customer data saved in different databases. Which of the following can be used to integrate, analyze, and apply the available information effectively?
CRM systems
Which of the following is an advantage of primary data?
They are more relevant than secondary data.
________ is the final step in the marketing research process.
Interpreting and reporting the findings
Which of the following is true about the introduction stage of a new product?
Sales growth tends to be slow.
Which of the following is most likely a true statement about shopping products?
Shopping products are purchased less frequently than convenience products.
Which of the following is a desirable quality for a brand name?
The name should translate easily into foreign languages.
________ can describe a product class, a product form, or a brand.
The product life cycle concept
Product modifications are an important source of new products for organizations
True
The federal government has the legal authority to prevent a company from adding products through acquisitions if the acquisition threatens to lessen competition.
True
Introducing a new product into the market is called ________.
commercialization
Hammond Corp. operates in the highly aggressive electronics market. The firm aims to obtain early warnings of opportunities and threats caused by the actions of other firms that are doing well in the industry. Which of the following sources would best serve Hammond's purpose?
competitive marketing intelligence
The stage in which product ideas are presented to groups of target consumers physically or symbolically is referred to as ________.
concept testing
Evans and Hills, a beverages manufacturing company, has developed a new line of specialty teas and is seeking regular input from the test marketing process. To facilitate this process, the firm uses BuyerScan, a software that generates store-by-store, week-by-week reports on the actual sales of tested products and the impact of in-store and in-home marketing efforts. Which of the following approaches does this scenario illustrate?
controlled test markets
Harley-Davidson disciples share a common, deeply held attraction to the brand. Harley appeals include: freedom, independence, power, and authenticity. Harley-Davidson doesn't just sell motorcycles. It sells self-expression, lifestyles, aspirations, and dreams. This illustrates ________.
core customer values
In terms of packaging functions, Tiffany & Co.'s robin egg blue boxes ________.
create immediate consumer recognition
Kallton is a multinational communications and information technology corporation. Its principal products are mobile telephones and tablets. It recently announced on its website that customers can suggest ideas for its upcoming product model. Contributors of short-listed ideas will be adequately rewarded. In this case, Kallton is using ________ to generate new product ideas.
crowdsourcing
A product life cycle has five distinct stages: product development, introduction, growth, maturity, and ________.
decline
The marketing manager of Appeal Inc. has noticed a sharp decrease in sales over the last two months. The manager decides to conduct marketing research to identify potential causes for the drop in sales. Which of the following should the manager do first?
define the problem and objectives
Brooke's Boutique plans to launch a new clothing line. For this purpose, the firm first conducts a survey to understand its target audience and identify the demographics of potential buyers. It then conducts experimental research to test whether customers associate discounted prices with lower product quality. Which types of research has the boutique employed in this case?
descriptive followed by causal
Acquisitions do not include ________.
developing a product
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 ________.
downward stretching
A major advantage of a mail survey is that it ________.
eliminates interviewer bias
A company that sells personal care products sends a trained observer to watch potential buyers in their natural environments. This is an example of ________ research.
ethnographic
The objective of ________ research is to gather preliminary information that will help define the problem and suggest hypotheses.
exploratory
Flurrbies, a line of winter accessories by a leading fashion label, quickly fell in and out of favor with customers. Flurrbies represents an example of a ________.
fad
The new product development process usually starts with ________.
idea generation
Safari Unlimited recently conducted national research to generate ideas for a new line of fatigues geared to women. The company uncovered a number of ideas about clothing and accessory preferences as well as important benefits such as built-in sunblock and durability. The Safari Unlimited product development team will most likely use ________ next to arrive at a realistic number of products for the new fatigues line.
idea screening
Data collection, processing, and analysis are undertaken during which stage of the marketing research process?
implementing the research plan
Kathy Jenkins is planning to conduct research on consumers' personal care routines. Since the questions are likely to be personal and sensitive, Kathy wants to select a contact method that will encourage respondents to answer honestly. Which of the following contact methods is most likely to best serve Kathy's purpose?
mail questionnaires
Although internal databases can be accessed more quickly and cheaply than other information sources, one of the challenges of internal databases is ________.
maintaining the current database
Which of the following is a quantitative approach to research?
marketing surveys
Appliances Galore is continually updating its line of refrigerators to reflect market trends and customer needs. Although the product class is in the maturity stage of the product life cycle, they maintain healthy sales of their line of refrigerators by continually ________.
modifying the product
Which of the following would most likely use informal research methods to obtain marketing insights?
not-for-profit organizations
Product mix width refers to the ________.
number of different product lines the company carries
Product mix depth refers to the ________.
number of versions offered for each product in the line
A(n) ________ is best suited for exploratory research.
observation
