MKTG-234 Exam Two
Which of the following aspects of product quality pertains to the notion of aesthetics:
Degree of Pleasure.
The three types of innovation discussed in Chapter 8 are "continuous innovation", "dynamically continuous innovation", and "________ innovation."
Discontinous.
Which VALS segment is associated with self-expression, high resources, and high innovation:
Experiencers.
Which of the following is an alternative term for CPG ("consumer packaged goods"):
FMCG
Marketers and economists use the term "disposable income" when referring to money spent on nondurable goods that are discarded, such as paper towels, disposable diapers, etc:
False.
Quaker Foods, maker of Quaker Oats cereal, is one of the "billion-dollar brands" in the portfolio of parent company Pepsico. True or false: No other company besides Quaker can use the word "Quaker" in its branding.
False.
Thinking about "objects and strategies for individual products," the key to the successful launch of the MINI Cooper was a creative TV advertising campaign that cost several million dollars.
False.
As we discussed, Elon Musk's efforts to revolutionize the automobile industry have really paid off. Hertz just ordered 100,000 vehicles! However, just a couple of years ago, efforts to ramp up production of the $35,000 Tesla Model 3 were hampered by quality issues. Musk announced that, in an effort to cut costs, all 100 of Tesla's US showrooms would be closed and that the company would move to an online-only sales model. This move was designed to bring down the quantity of Model 3 cars the company needed to sell to break even on them. Thinking about the closing of the retail locations (an the resultant savings in lease, insurance, utilities, and similar costs), which kind of costs is Musk targeting:
Fixed Costs.
Consumer-packaged-goods powerhouse P&G can be used to illustrate a variety of Chapter 9 concepts, including product and brand management, product lines, product mix, and brand extensions. Which of the following brands is "P&G's first new hand dish soap brand in 40 years?"
Gain.
Which of the following demographic groups is characterized in our text as "digital natives":
Generation Z.
Which of the following statements accurately reflects the discussion about Proctor & Gamble (P&G):
P&G has pursued a contraction strategy by divesting a number of food and beauty brands in order to trim its product mix.
In the Chapter 9 opening case, which client is Aaron Keller of the Capsule brand consultancy working with?
Patagonia.
For which type of product (normal or prestige) does the demand curve take the form of a curved line, as opposed to a straight line.
Prestige product.
We have mentioned two retail chains, Costco and Aldi, in conjunction with a discussion of _______________ brands. (Hint: We've also cited Trader Joe's as a similar example).
Private-Label
The UPC is an important element of packaging and labeling.; it stands for Universal _____________ Code.
Product.
Thinking about the various aspects of product quality, which of the following is highlighted in Chapter 9 as being integral to McDonald's business model:
Reliable.
The acronym "R&D" stands for:
Research & Development
At which stage of the new product development process do marketers make estimations of technical success (e.g., can we produce it?) and commercial success (e.g., will people buy it?):
Step 2 - Product Concept Development and Screening.
It is easy to find examples of key marketing concepts in lots of different places. Consider, for example, the following restaurant review: "Nothing could have prepared me for a thin slice of grilled sourdough and a mound of rabbit, pork, and foie gras rillettes, beaten to a smooth, almost parfait consistency. It seems counter-intuitive to mix three ingredients usually served as exemplars of single pure flavors but this combination is truly greater than the sum of its parts." What concept is at work here?
Synergy.
On p.1 of the Chapter 10 study guide, there is a brief case study of SCARPA, an Italian athletic shoe manufacturer. This material is not in the textbook. However, it offers a real-life example of a key concept discussed in Chapter 10. What is that concept?
Target costing.
As noted on your Chapter 7 Study Guide, one approach to segmentation embraces the notion that "the future of business is selling less of more." What concept is at work here?
The Long Tail.
What is the relationship, if any, between "brand meaning" and "brand equity?"
"Brand meaning" is based on bonds that encompass a consumer's beliefs and associations about the brand; "brand equity" is a source of competitive advantage because the brand's superior perceived value creates consumer loyalty.
Our authors define "Generation Y" as those persons born between 1979 and:
1994.
Thinking about the adoption and diffusion of new products, "early majority" and "late majority" each account for about__________percent of adopters.
34%
Which of the following is NOT considered to be a demographic variable:
Activities.
Which of the following statements best represents the key points in the "Helen of Troy" case:
All of the above statements reflect key issues in the case.
Which of the following broad economic trends can affect the success of a company's pricing strategy? Inflation Economic Growth Consumer Confidence The Business Cycle All Of The Above
All of the above.
Thinking about pricing objectives and psychological issues in setting prices, which of the following terms, if any, is not consistent with the others: Image enhancement object Premium pricing Prestige pricing Status-conscious consumers All of these terms are consistent with each other.
All of these terms are consistent with each other.
Supporting features such as warranty, credit, and service after the sale are all part of the:
Augmented Product.
The "80/20 rule" is relevant to which of the following segmentation variables:
Behavior.
The point at which a firm's total revenue and total costs are equal is called the:
Break-even point.
As you may know, Elon Musk's Tesla is a pioneer in the electric vehicle (EV) category. The company's first (and for many years, only) vehicle, the Model S sedan, costs $80,000 and was designed to appeal to affluent eco-conscious consumers. What kind of targeting/segmenting strategy was evident in Tesla's early days:
Concentrated Marketing.
Suppose you are in the market for an EV (electric vehicle). You go to the Tesla Website, and you see the Tesla Model 3 ($35,000 manufacturers suggested retail price) displayed side-by-side with a Nissan Leaf ($29,900 MSRP). You think, "The Nissan is probably not as good a car as a Tesla. I think I'll spend five grand more for the Tesla." In terms of consumers' perceptions of price, which concept is evident here:
Contrast effect
Suppose a customer has an emotional "bond" with a brand such that there is a true relationship. Which type of relationship describes how the product or brand — Starbucks, for example — is a part of the user's daily routine?
Interdependence.
At which stage of the Product Life Cycle (PLC) are profits negative?
Introduction.
Which of the following correctly states the reason for the success of Modelo Especial beer in the United States:
It has been embraced both by Hispanic Americans proud of their heritage and by the mass market, including non-Hispanic Millennials, who are open to trying new things.
Choose the law that is relevant to each marketing issue: Which law pertains to price fixing and gouging: Which law pertains to intellectual property rights: Which law pertains to price fixing:
Lanham Act Sherman Antitrust Act Robinson-Patman Act
Which of the following is the largest ethnic segment in the United States:
Latino/a Americans.
Which of the following most accurately reflects the text discussion of pricing in the introductory phase of the PLC?
Managers may choose either pricing option, depending on their company's strategic goals.
Several well-known CPG brands, including Aunt Jemima (pancake mix), Uncle Ben's (rice), and Mrs. Butterworth's (syrup) were mentioned in Chapter 9 in conjunction with:
Marketing responses to social justice issues.
What does the "M" stand for in DMAIC:
Measure.
In the Chapter 8 section titled "Market Test," the authors describe how Procter & Gamble (P&G) continually sabotaged another company's efforts to test a new product. What was the competitor's product?
Mouthwash.
Which of the following British Invasion bands, if any, sued Apple Computer to prevent it from using the Apple logo as part of the iTunes store branding?
None of the above.
A ______________ is the legal term for a registered brand name or brand mark.
Trademark.
Convenience goods are typically nondurable goods.
True.
The SC Johnson Company, headquartered in Racine, Wisconsin, markets a variety of products including Pledge® furniture wax, Windex® window cleaner, Raid® insecticide, Glade® air freshener, and a host of other household brands. By definition, these are all manufacturer brands.
True.
Which targeting strategy, if successful, can help company achieve economies of scale by serving a homogeneous mass market in which consumer wants and needs are similar:
Undifferentiated Marketing.
As defined in Chapter 8, _______________ is the "process by which an organization creates worth through collaborative participation by customers and other stakeholders in the new product development process."
Value Co-Creation
A firm's costs can be divided into fixed costs and _______________ costs.
Variable.
Everybody is familiar with Kraft, maker of popular foods such as Kraft Mac & Cheese and Cheese Wiz. And, of course, we all know Heinz, maker of Heinz Tomato Ketchup and other household staples. In 2015, Kraft and Heinz merged. Omaha-based billionaire investor Warren Buffett owns a significant share of the new entity, KraftHeinz. In pursuit of higher profits, KraftHeinz raised prices on its popular Capri Sun fruit drink by 25%. Price-sensitive shoppers stopped buying Capri, opting instead for private-label fruit drinks. Which of the following pricing concepts explains this situation:
When it came to the decision of whether to buy Capri fruit drinks, consumers were exhibiting elastic demand curves.
