Marketing

Which of the following BEST describes a new product?

A product perceived as new by potential customers

Advertisements are internal stimuli that influence consumer needs.

False

Industrial products are classified as convenience products, shopping products, specialty products, and unsought products.

False

Innovators are tradition-bound and adopt an innovation only when it has become something of a tradition itself

False

LaGrange, a floral boutique, segments its customers into three groups: those who frequently use their services, those who have never used their services, and potential users. This is an example of usage-rate segmentation.

False

Of the three levels of products and services, the most basic level is the "actual product."

False

Personal sources of information normally inform the buyer, but commercial sources legitimize or evaluate products for the buyer

False

When a consumer learns about a new product for the first time and makes a decision to try it, the consumer is engaged in the alternative evaluation process

False

Everyone has been talking about Mission Taco. Heath loves tacos, and after hearing the recent buzz, he has decided to find out more by asking his social media friends about Mission Taco. Heath is at which stage in the adoption process?

Interest

is the process of evaluating the attractiveness of different market segments and selecting one or more segments to enter.

Market targeting

Why is it difficult for marketers to take advantage of the factors that affect consumer-buying behavior?

Marketers have little or no control in factors that influence consumer buying behavior.

This department must partner with other company departments to produce superior value for customers

Marketing department

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.

________ are people within a reference group who, because of special skills, knowledge, personality, or other characteristics, exert social influence on others.

Opinion leaders

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

Services

There are many ways to segment a market buy not all segmentations are effective. To be useful, market segments must be all of the following EXCEPT?

Situational

________ 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

Alice is shopping for a new car, and she has narrowed her decision to a Honda Accord and a Toyota Camry. Both sedans have similar features and prices, but Alice decides to purchase the Honda based on her intuition. Which of the following situations would most likely cause Alice to experience postpurchase dissonance?

The price of the Toyota Camry falls due to an increase in demand.

A brand extension gives a new product instant recognition and faster acceptance.

True

A business marketer normally deals with far fewer buyers than a consumer marketer does

True

A company that adapts a reactive marketing stance would most likely view the marketing environment as an uncontrollable element to which it must adapt

True

Furniture is an example of a shopping product.

True

Product line filling involves adding more items within the present range of the line.

True

Social class is not determined by a single factor, such as income, but is measured as a combination of occupation, income, education, wealth, and other variables

True

The business buying process tends to be longer and more formalized than the consumer buying process

True

Unsought products are consumer products that the consumer either does not know about or knows about but does not normally consider buying.

True

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

While designing a customer-driven marketing strategy, marketers are likely to divide the market into smaller segments.

True

________ refers to the practice of including ethnic themes within a company's mainstream marketing

Cross-cultural marketing

Which of the following characteristics of a product is defined as "freedom from defects"?

quality

A shoe company's ads feature the members of a popular country music band. Product sales increase significantly among the band's fans. From the fans' viewpoint, the band is a(n)

reference group

Service variability means that ________.

service quality depends on when, where, and how they are provided

The use of traditional business marketing concepts and tools to create behaviors that will create individual and societal well-being is called ________ marketing.

social

The more loyal a firm's customers

the higher its customer equity

Product mix length refers to the ________.

total number of items a company carries within its product lines

Which of the following would be considered part of an augmented product rather than that of an actual product or core customer value?

warranty

Compared with undifferentiated marketing, differentiated marketing is more likely to lead to ________.

weaker product position in each market segment

Which of the following terms is used to describe a specific mix of human traits that may be attributed to a particular brand?

brand personality

Argonaut Food Stores, a retail giant, hires better-skilled employees than its competitors by employing strategic recruitment practices. It also conducts highly specialized training programs for its employees. In this case, Argonaut has focused on gaining a strong competitive advantage through ________ differentiation.

channel

Which of the following sources of product information can marketers control completely?

commercial sources

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

A laundry detergent that consumers purchase frequently, with minimum comparisons, is an example of a(n) ________ product.

convenience

Which of the following types of products are generally priced the lowest?

convenience products

The total combined customer lifetime vales of all the companies current and future customers

customer equity

Firms that manufacture seasonal products target their consumers primarily through ________ segmentation.

demographic

Zista, a boutique that caters to the clothing needs of women, manufactures two different lines of fashion wear based on the purchasing power of its customers. One product line caters to the needs of affluent, middle-aged women, and the other line targets younger professionals and homemakers. Zista most likely segments the consumer market based on ________ variables.

demographic

Port Orleans Shipping markets different services to the tourism, defense, and trade segments. The firm designs separate offers for each segment based on their needs. This approach is called ________ marketing.

differentiated

Store brands are also known as ________ brands.

extended

Which of the following is a social factor that influences consumer buying behavior?

family

When marketers want to promote their products and services through word-of-mouth marketing programs, they typically begin by ________.

generating person-to-person brand conversations

A product line is most likely too long if managers can ________.

increase profits by dropping items

Which packaging component identifies the product or brand?

label

Which of the following is a personal factor that influences a consumer's buying behavior?

life-cycle stage

Which of the following is a psychographic characteristic of a consumer?

lifestyle

Sweet & Cream, a popular frozen yogurt chain, attracts new customers by adding new flavors to its famous frozen yogurt product line. In this case, the company has developed its brand with ________.

line extensions

Which of the following is the right order of the steps that companies generally follow in designing a customer-driven marketing strategy?

market segmentation, market targeting, differentiation, and positioning

The practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations is referred to as ________.

micromarketing

Which of the following strategies is most likely to be followed by firms that position themselves as caterers of the best products at economical prices?

more for less

Rad, a manufacturer of luxury watches, charges a higher price for its products than its competitors. Despite the high prices, the brand is popular among customers for its quality and service in comparison to cheaper alternatives available in the market. In this case, Rad offers a(n) ________ value proposition.

more-for-more

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.

national

Product mix width refers to the ________.

number of different product lines the company carries

The ultimate aim of customer relationship management

produce high customer equity

The marketing manager at Frizzles' Eateries targets customers who are working to lose weight but who still want to dine out. The restaurant chain offers a wide variety of low-fat, low-calorie meals that appeal to dieters. Frizzles' approach is best referred to as ________ segmentation.

benefit

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

Takes into consideration the seller's view of the market

The Four Ps

A product is defined as anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need.

True

A small increase in consumer demand can cause a large increase in business demand

True

An effective MIS assesses information needs, develops needed information, and distributes the information to help managers with decision making.

True

Demographic factors are the most popular bases for segmenting customer groups.

True

Most major new innovations are unsought until consumers become aware of them through advertising.

True

New communications technologies are likely to eliminate the need for markets to be geographically segmented as clusters of countries.

True

Which of the following generally increases the total demand for business products?

an increase in consumer demand

Dividing buyers into groups based on their knowledge, attitudes, uses, or responses to a product is called ________ segmentation.

behavioral

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

organization

The most effective sources of information about a product tend to be ________ sources.

paid

Through ________, brands can be differentiated on features, performance, or style and design.

product differentiation

At one time, Miller Beer was known as the "champagne of bottled beer." It was targeted at an elite class of customers. Later, to increase sales, Miller was repositioned to attract members of the working, middle-class. What is this segmentation method called?

psychographic

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

False

Which of the following statements is most likely true about unsought products?

Marketers use aggressive advertising to convince consumers to buy unsought products

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

packaging

Line extensions occur when a company extends existing brand names to new or modified products in a new category.

False

Marketing intermediaries supply resources needed by a company to produce its goods and services

False

With the adopter classification in mind, a cutting-edge firm should research the characteristics of which groups?

Innovator and early adopter

Which of the following is true of perceptual positioning maps?

They are used to analyze consumer perceptions of a brand versus competing products.

Why is marketing ROI so difficult to measure?

This is no consistent definition

A consumer's buying behavior is often influenced by reference groups to which the consumer does not belong

True

Unlike other car rental agencies that are based in airports to serve travelers, Wheelz-On-Rent has a network of neighborhood offices. The firm strives to serve people who need car rentals for reasons other than vacation, such as when their own cars are being repaired. Wheelz-On-Rent caters to a small share of the large car rental market. From this description, it can be concluded that Wheelz-On-Rent most likely practices ________.

concentrated marketing

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

Becca wants to buy a new coat. She asks her friends to recommend a store and/or a style of coat. She looks for sale advertisements for coats in newspapers and also visits nearby stores to check if she can find something in her budget. In this case, Becca is most likely in the ________ stage of the buyer decision process.

information search

Diane Chambers, the marketing manager of FarmFresh, collects data from her monthly records of sales, costs, and cash flow. In this case, Diane is making use of ________ databases.

internal

Orienting and motivating customer-contact employees and supporting service people to work as a team to provide customer satisfaction is known as ________ marketing.

internal

Which link in the service chain emphasizes superior employee selection and training?

internal service quality

The less-for-much-less positioning involves meeting consumers' requirements for ________.

lower quality for a lower price

Focus on customers wants instead of needs or on the product itself

marketing myopia

When a company interacts one-on-one with large numbers of customers to create customer-unique value by designing products and services tailor-made to individual needs, it is engaging in ________.

mass customization

Using a(n) ________ 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

A marketing intermediary would most likely help a firm by ________.

moving the firm's goods from production points to distribution centers

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?

multibrands

Which of the following includes the target segment of a product, the category to which the product belongs, and the product's point of difference from other members in the category?

positioning statement

Bill thought he had received the best deal on his new car. Shortly after the purchase, Bill started to notice certain disadvantages of his new car as he learned more about other cars available in the same price range. Bill is in which of the following stages of the buyer decision process?

postpurchase behavior

Service inseparability means that ________.

services become a part of their providers, whether the providers are people or machines

Service perishability means that ________.

services cannot be stored for later sale or use

A refrigerator is an example of a(n) ________ product.

shopping

Shampoo marketers segment buyers as light, medium, or heavy product users. This is an example of ________ segmentation.

usage rate

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