Product/Service Management (PM) Pre-test
Determine whether the following statement is true or false: A product is considered new only if it is totally new to the market.
False, a newly modified product can be considered new.
Businesses hope that innovators will buy new products when they are in the introductory stage because this helps to
create demand for the products
Arm & Hammer used to be known as plain baking soda. Now it has been introduced as an odor absorber for refrigerators. This is an example of
repositioning
Which of the following is an example of a limited warranty:
The manufacturer will replace defective parts for six months upon purchase of the product.
What is the central role of brand identity elements?
They work together to represent the brand.
Which of the following is a way that grades and standards can be used:
To determine how products can be used
Which of the following product mix strategies is a business using when it makes changes to aspects of its product items, such as packaging or pricing:
alteration
What does a successful corporate brand communicate?
benefits
Successful product/service management often helps a company to reduce its
business risk
A business that positions its products as the ones offering the best quality and service for the price might gain a
competitive advantage
A business might reduce a product's price during the growth phase of the product's life cycle because
competitors have introduced similar products to the marketplace.