Marketing ch 6-10

Differentiation

Actually differentiating the market offering to create superior customer value.

15 1 / 1 pts The PLC concept can describe Product class Product form Product brand

All the above

16 1 / 1 pts ________ involves a review of the sales, costs, and profit projections for a new product to determine whether they satisfy a company's objectives. Vendor analysis

Business analysis

9 1 / 1 pts A multichannel marketing system is one in which a producer sells to multiple markets using the same distributional channel.

False

Using a differentiated marketing strategy, a company is likely to design a product and a marketing program that will appeal to the largest number of buyers.

False

Intermarket (cross-market) Segmentation

Forming segments of consumers who have similar needs and buying behaviors even though they are located in different countries.

11 1 / 1 pts ________ pricing refers to selling below cost with the intention of punishing a competitor or gaining higher long-run profits by putting competitors out of business.

Predatory

16 1 / 1 pts ________has become a key element in the international marketing strategies of companies attempting to enter emerging markets.

Price

2 1 / 1 pts A detailed version of the new product idea stated in meaningful consumer terms refers to

Product concept

Local marketing

Tailoring brands and marketing to the needs and wants of local customer segments, cities, neighborhoods and even specific stores.

A more-for-more market offering not only offers higher quality but also gives prestige to a buyer.

True

The low cost of setting up shop on the Internet makes it even more profitable to serve seemingly small niches.

True

12 1 / 1 pts Movie theaters charge matinee pricing during the daytime, and resorts give weekend and seasonal discounts. This is illustrative of a ________ pricing strategy.

time-based

1 1 / 1 pts Which of the following is true of RFID or "smart tag" technology?

"Smart shelves" can tell when it is time to reorder and can place orders automatically.

14 1 / 1 pts _____________calls for testing new product concepts with groups of target consumers.

Concept testing

13 1 / 1 pts "A channel consisting of one or more independent producers, wholesalers, and retailers, each a separate business seeking to maximize its own profits, perhaps even at the expense of profits for the system as a whole" refers to

Conventional distribution channel

__________ can also be used, grouping markets according to common languages, religions, values and attitudes, customs, and behavioral patterns.

Cultural factors

7 1 / 1 pts Which of the following statements is most likely true about the new product development process?

Customers, competitors, distributors, and suppliers are major sources of new product ideas.

10 1 / 1 pts Under______________ , the market consists of many buyers and sellers trading over a range of prices rather than a single market price.

Monopolistic competition

13 1 / 1 pts Manufacturers rely on distributors and suppliers as internal sources of new product ideas.

False

16 1 / 1 pts Introducing intermediaries into a distribution chain increases the number of direct channel transactions between a manufacturer and its customers.

False

17 1 / 1 pts Value-based pricing is often product driven, and customer value perceptions are secondary.

False

18 1 / 1 pts Inbound logistics involves managing the flow of products from an intermediary to a customer.

False

19 1 / 1 pts There is no true substitute for coffee. If the price goes from $8 to $12 for a package of k-cups due to a coffee bean shortage, demand will remain relatively unchanged. This is an example of demand elasticity.

False

2 1 / 1 pts Service variability means that the quality of services does not depend on who provides them.

False

8 0 / 1 pts Federal legislation on price-fixing states that sellers must set prices after talking to customers and competitors.

False

A segment is more attractive if it is easy for new competitors to enter the market.

False

Marketers typically limit their market segmentation analysis to a single variable in order to simplify the process.

False

Product position

How a product is defined by consumers on important attributes the place a product occupies in consumers' minds relative to competing products.

6 0 / 1 pts What real-life example does the textbook provide for market-penetration pricing?

IKEA slashing its prices for frugal Chinese customers

8 1 / 1 pts The systematic search for new product ideas refers to

Idea generation

5 1 / 1 pts ________ involves combining two or more systems of transportation to move products.

Multimodal transportation

Niche marketing offers smaller companies an opportunity to compete by focusing their limited resources on serving niches that may be unimportant to or overlooked by larger companies.

True

Target and Kohl's have opened smaller-format stores designed to fit the needs of densely packed urban neighborhoods. This is an example of geographic segmentation.

True

A market-coverage strategy in which a firm decides to target several market segments and designs separate offers for each is called?

Undifferentiated marketing

9 1 / 1 pts Attaching value-added features and services to differentiate a company's offers and charging higher prices refers to

Value-added pricing

20 1 / 1 pts __________, conflict between different levels of the same channel.

Vertical conflict

2 1 / 1 pts Which of the following would be considered an upstream partner in a company's supply chain?

a firm that provides technical expertise in the production of a product

Market segments that can be effectively reached and served are said to be ________. measurable

accessible

10 1 / 1 pts Which type of channel arrangement is a retailer like Home Depot likely to follow?

administered vertical marketing system

15 1 / 1 pts Wilkinson & Company sells plumbing supplies across the United States. Wilkinson uses Chicago as its central location for determining freight costs regardless of the city from which products are actually shipped. For example, a Dallas customer pays the freight cost from Chicago to Dallas even if the goods are shipped from Dallas. Wilkinson most likely uses ________ pricing.

basing-point

A brand difference is said to be preemptive if ________.

competitors cannot easily copy the difference

The full positioning of a brand is referred to as the ________.

concentrated strategy

15 0 / 1 pts Integrating the entire distribution chain - from its own design and manufacturing operations to distribution through its own managed stores - has turned Spanish clothing chain Zara into the world's fastest-growing fast-fashion retailer. This is an example of a(n) ________ marketing system.

corporate vertical

13 1 / 1 pts A company adding new features to a product will most likely assess each feature's value to customers relative to its ________.

cost to the company

18 1 / 1 pts Setting prices based on competitors' strategies, prices, costs, and market offerings

d. Competition-based pricing

P&G was among the first to use ________ segmentation when it introduced Secret, a deodorant brand specially formulated for women's chemistry. age and life-cycle

gender

Gulf Coast, a wholesale shrimp distributor, groups its customers by regions in the United States, such as Midwest, Northeast, and Southwest. For each region, Gulf Coast tailors a different set of advertisements and promotions. The supplier is segmenting its market according to ________. behavioral factors

geographic location

6 1 / 1 pts The Dairy Bar, a national soft-service ice cream retailer, buys cones from Cones & More. Cones & More is an important resource for marketplace information. They're considered a(n) ________ source of new product ideas for the Dairy Bar.

internal

14 1 / 1 pts Which link in the service profit chain emphasizes superior employee selection and training?

internal service quality

1 1 / 1 pts In which stage of the product life cycle will promotional expenditures be significantly high in an attempt to create consumer awareness of a product and its features?

introduction

Age and life cycle segmentation

offering different products or using different marketing approaches for different age and life cycle groups. Eg. Lunchables

7 1 / 1 pts Which of the following terms best describes the process of designing and producing a container or wrapper for a product?

packaging

20 1 / 1 pts As a result of ________, a company cannot make its product illegally similar to a competitor's already established product.

patent laws

Zeal is a popular automobile brand, and its positioning statement is: "For upscale American families who require large vehicles, Zeal is the automobile of choice." Which of the following mandatory elements is missing from the positioning statement?

point of difference

17 1 / 1 pts If a product passes both the concept test and the product test, the next step is most likely to be ________.

test marketing

16 1 / 1 pts TQM refers to

Total Quality Management

19 1 / 1 pts Which of the following is an example of a convenience product?

candy

Differentiated (segmentation) marketing

A market coverage strategy in which a firm decides to target several market segments and designs separate offers for each.

Concentration niche marketing

A market coverage strategy in which a firm goes after a large share of one or a few segments or niches.

Undifferentiated (mass) marketing

A market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer.

Target market

A set of buyers sharing common needs or characteristics that the company decides to serve.

Positioning statement

A statement that summarizes company or branding positioning using this form: To (target segment and need) our (brand) is (concept) that (point of difference).

11 1 / 1 pts A vertical marketing system that coordinates successive stages of production and distribution through the size and power of one of the parties refers to

Administered VMS

9 1 / 1 pts L.L Bean has figured out that: "Keeping customers happy_______the sale is the key to building lasting relationships."

After

4 1 / 1 pts Products include Services Events Ideas

All the above

5 1 / 1 pts What situation(s) may lead a firm to consider cutting its price? Excess capacity Falling demand in the face of strong price competition As a means to dominate the market through lower costs

All the above

Competitive advantage

An advantage over competitors gained by offering greeted customer value either by having lower prices or providing more benefits that justify higher prices.

Positioning

Arranging for a market offering to occupy a clear, distinctive and desirable place relative to competing products in the minds of target consumers.

18 0 / 1 pts "The commercial__________ industry was one of the first to grow internationally."

Banking

People buying bikes that are looking for any numerous benefits, from competitive racing and sports performance to recreation, fitness, touring, transportation, and just plain fun is an example of?

Benefit segmentation

5 1 / 1 pts 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?

BerryBerry teams up with SFX, a sporting goods company, to introduce a line of energy bars called BerryBerry SFX.

11 1 / 1 pts An alternative to extensive and costly standard test markets, companies can use Controlled test markets A panel of qualified judges Simulated test markets

Both A and C

8 1 / 1 pts _________ is a name, term, sign, symbol, or design, or a combination of these, that identifies the products or services of one seller or group of sellers and differentiates them from those of competitors.

Brand

6 1 / 1 pts Brands are not maintained by advertising but by cusomters'_______ __________.

Brand experiences

Geographic segmentation

Calls for dividing the market into different geographical units, such as nations, regions, states, counties, cities, or even neighborhoods.

Undifferentiated marketing strategy focuses on what is _______ in the needs of consumers rather than what is _______.

Common; different

Income segmentation

Dividing a market into different income segments.

Gender segmentation

Dividing a market into different segments based on gender.

Psychographic segmentation

Dividing a market into different segments based on social class lifestyle or personality characteristics.

Market segmentation

Dividing a market into distinct groups of buyers who have different needs, characteristics or behaviors and who might require separate marketing strategies or mixes.

Behavioral segmentation

Dividing a market into segments based on consumer knowledge attitudes, uses of a product or responses to a product.

Occasion Segmentation

Dividing the market into segments according to occasions when buyers get the idea to buy, actually make their purchase or use the purchased item .

Benefit segmentation

Dividing the market into segments according to the different benefits that consumers seek from the product.

Demographic segmentation

Dividing the market into segments based on variables such as age, life cycle stages, gender, income, occupation, education, religion, ethnicity and generation.

6 1 / 1 pts The digital exchange of data between organizations refers to

Electronic data interchange (EDI)

Market targeting

Evaluating each market segment's attractiveness and selecting one ore more segments to serve.

15 1 / 1 pts "Disney has long manufactured dreams and memories through its movies and theme parks—it wants theme park cast members to deliver a thousand small 'wows' to every customer" is an example of

Experiences

12 1 / 1 pts ________ occurs when a company uses its existing brand name for new forms, colors, sizes, ingredients, or flavors of an existing product category.

Line extension

7 1 / 1 pts ________ prices are carried in buyers' minds and used when looking at a given product. Captive-product

Reference

10 1 / 1 pts The service profit chain links _________with_________

Service firm profits; Employee and customer satisfaction

20 1 / 1 pts ________ refer to a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible.

Services

Individual marketing

Tailoring products and marketing programs to the needs and preferences of individual customers.

Micromarketing

Tailoring products and marketing programs to the needs and wants of specific individuals and local customer segments includes local marketing and individual marketing.

9 1 / 1 pts During the decline stage of the product life cycle, product sales may plunge to zero, or they may drop to a low level where they continue for many years.

True

3 1 / 1 pts 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?

The company introduces BerryBliss, a dried berry snack mix for kids.

Value proposition

The full positioning of a brand, the full mix of benefits on which it is differentiated and positioned.

19 1 / 1 pts ________ can describe a product class, a product form, or a brand.

The product life cycle concept

13 1 / 1 pts ________ costs refer to the sum of the fixed and variable costs for any given level of production.

Total

10 1 / 1 pts The moral of the product life cycle is that companies must continually innovate; otherwise, they risk extinction.

True

14 1 / 1 pts An independent logistics provider that performs all of the functions required to get a client's product to market is known as a third-party logistics (3PL) provider.

True

14 1 / 1 pts Price discrimination is allowed if a seller can prove that its costs are different when selling to different retailers.

True

18 1 / 1 pts When consumers react more favorably to a brand than to a generic or unbranded version of the same product, the brand is said to have positive brand equity.

True

19 1 / 1 pts Marketing logistics involves getting the right product to the right customer in the right place at the right time profitably.

True

2 1 / 1 pts The Robinson-Patman Act seeks to prevent unfair price discrimination by ensuring that sellers offer the same price terms to customers at a given level of trade.

True

20 1 / 1 pts A break-even chart shows the total cost and total revenue expected at various sales volume levels of a product.

True

12 1 / 1 pts In the ________ stage, a firm most likely faces a trade-off between high market share and high current profit.

growth

12 1 / 1 pts Brandy's, a national candy store chain, decides to open both a coffee house and ice cream shop within their stores to create a multi-faceted experience for shoppers. The company decides to enter into deals with two well-known retailers - The Beanery and Creamy Creations. As stipulated in their respective contracts, The Beanery and Creamy Creations cannot enter into the same type of agreement with any other candy retailers. All three companies will enjoy greater sales, and ultimately profits, from the arrangement. This is most likely an example of a(n) ________ marketing system.

horizontal

5 1 / 1 pts 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

The distinctive yellow and blue "hands held high" logo of a local daycare distinguishes it from other establishments. The logo is prominently displayed on its building, t-shirts worn by the children, and at fundraising events. The daycare has differentiated itself through ________.

image

11 0 / 1 pts A product line is most likely too short if managers can ________. You Answered

increase profits by adding items

4 1 / 1 pts Producers of convenience products and common raw materials typically seek ________ distribution - a strategy in which they stock their products in as many outlets as possible

intensive

Using a ________ positioning strategy, companies can attack the more-for-more strategy of another firm by offering a brand of comparable quality at a lower price.

more-for-the-same

3 1 / 1 pts The first Target store opened in 1962. Its initial strategy was to set prices low to attract a large number of buyers quickly and win a large market share. This is referred to as ________.

market-penetration pricing

7 1 / 1 pts Selective distribution is a strategy in which ________.

more than one, but fewer than all, willing intermediaries are used by a seller

1 1 / 1 pts Flores Fashions promotes its clothing by emphasizing the durability and quality of the fabrics it uses. The company has positioned its brand based on ________.

product attributes

3 1 / 1 pts A company's external sources of new product ideas include its ________.

suppliers

1 1 / 1 pts Which group is most likely offered functional discounts by manufacturers?

trade-channel members that perform sales tasks

3 1 / 1 pts Which of the following applies to a marketing intermediary who buys brand name toothpaste from 10 different manufacturers, consolidates offerings, and then resells the various brands to 500 supermarkets in Florida?

transform the assortments of products made by producers into the assortments wanted by consumers

4 1 / 1 pts Which of the following pricing strategies charges the same price plus freight to all customers, regardless of their location?

uniform-delivered pricing

17 1 / 1 pts Consumer products that the buyer either does not know about or knows about but does not normally consider buying are referred to as ________ products.

unsought

Markets can be segmented into groups of nonusers, ex-users, potential users, first-time users, and regular users of a product. This method of segmentation is called ________.

user status segmentation

17 1 / 1 pts A ________ is made up of a company, its suppliers, distributors, and, ultimately, customers who "partner" with each other to improve the performance of the entire system.

value delivery network

4 1 / 1 pts In which of the following cases is little or no test marketing most likely recommended for a new product?

when the costs of developing and introducing the product are low