marketing exam 2
a____ is defined as a name, term, sign, symbol, design, or a combination of these, that identifies the maker or seller of a product or service
brand
Los Amigos, a new Mexican restaurant, has set up shop across the street from Hot Tamales and More. Which of the following pricing strategies will Los Amigos likely use?
competition based
what are the functions of the product labels? what marketing role do labels play?
labels range from simple tags attached to the products to complex graphics that are part of the packaging. the label might help to promote the brand, support its positioning and connect with customers.
when establishing prices, it's important for a manager to understand that "good value" is not the same as_____
low price
_____ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics or behaviors
market segmentation
Marketing the same product to a huge customer base without any customization is referred to as ________.
mass marketing
when a product is in the ____ stage, profits level off or decline because of increased marketing outlays to defend the product against competition
maturity
briefly describe the characteristics of effective market segments
measurable, accessible, substantial, differentiable, actionable
appliances galore is 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
Delta, an American video game manufacturer, targets teens between the ages of 13 and 18, providing free game trials and applications. The firm's marketing approach exemplifies ________ segmentation.
age and life cycle
Dividing buyers into groups based on their knowledge, attitudes, uses, or responses to a product is called ________ segmentation.
behavioral
what sets the upper limit for a products pricing?
consumer perceptions of value
Producers use marketing intermediaries because they ________.
create greater efficiency in making goods available to target markets
In terms of packaging functions, Tiffany & Co.'s robin egg blue boxes ________.
create immediate customer recognition
what is crowdsourcing? how is crowdsourcing useful in product development?
crowdsourcing refers to throwing the innovation doors open to and inviting broad communities of people into the new product innovation process. it enables companies to rely on not only one source or another but on extensive innovation networks that capture ideas and inspirations from multiple sources
a product life cycle has 5 distinct stages: product development, introduction, growth, maturity and ____
decline
the relationship between the price charged for a product and the resulting demand level can be shown in a
demand curve
Lilly's, a furniture retailer, sells low-end furniture and accent pieces that are targeted toward lower-income consumer groups. Lilly's most likely segments the consumer market based on ________ variables.
demographic
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 ____
equity
companies today are moving away from target marketing and toward mass marketing
false
manufacturers rely on distributors and suppliers as internal sources of new product ideas
false
what are two different types of costs that a company incurs? explain with examples
fixed costs are costs that do not vary with production or sales level. Ex: a company must be its electric bill every month variable costs vary directly with level of production. Ex: total number of computers varies with use
in the _____ stage, a firm most likely faces a trade off between high market share and high current profit
growth
the new product development process starts with ____
idea generation
Which type of market segmentation is generally used by marketers who sell luxury products targeted to the affluent segments of a population?
income
which link in the service profit chain emphasizes superior employee selection and training?
internal service quality
explain multichannel distribution systems
multichannel distribution occurs when a single firm sets up two or more marketing channels to reach one or more customer segments
what term 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
______ is the only element in the marketing mix that produces revenue
price
____ segmentation factors divide buyers into different groups based on social class, lifestyle, or personality characteristics
psychographic
the national tree company offers resellers half-price reductions on artificial Christmas trees if they purchase them in july. this is an example of a ___
seasonal discount
________ refer to a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible.
services
a pure tangible good
shampoo
A company's external sources of new product ideas include its ________.
suppliers
From the producer's point of view, a greater number of levels in a supply chain means less control and greater channel complexity
true
demographics are the most popular bases for segmenting customer groups
true
support services are an important part of a customers overall brand experience
true
the moral of the product life cycle is that companies must continually innovate, otherwise, they risk extinction
true
a___ is made up of a company, its suppliers, distributors and customers who "partner" with each other to improve the performance of the entire system
value delivery network