Quizlet chapter 12

Which of the following is not a major factor that contributes to brand equity? a. Perceived brand quality b. Brand awareness c. Brand association d. Brand loyalty e. Brand extension

Brand extension

What are three types of pricing associated with business products? a. Geographic pricing, transfer pricing, and discounting b. Geographic pricing, transfer pricing, and comparison discounting c. Comparison discounting, negotiated pricing, and transfer pricing d. Discounting, bundling, and transfer pricing e. Transfer pricing, geographic pricing, and negotiated pricing

Geographic pricing, transfer pricing, and discounting

The largest number of product ideas are rejected during which stage of new-product development? a. Business analysis b. Concept testing c. Screening d. Test marketing e. Idea generation

Screening

Which pricing objective cannot be pursued on a long-term basis? a. Target return on investment b. Survival c. Profit maximization d. Status-quo pricing e. Market-share goals

Survival

Setting prices for business products is different from setting prices for consumer products due to all of the following factors, except: a. the credit worthiness of businesses. b. the size of purchases. c. transportation considerations. d. geographic issues.

The credit worthiness of businesses.

Brands that are initiated and owned by the producer, such as Xerox or SONY, are called: a. generic brands. b. knock-offs. c. manufacturer brands. d. private brands. e. global brands.

c. manufacturer brands

The stages of the product life-cycle (in order) are: a. introduction, peak, growth, and maturity. b. decline, introduction, growth, and stability. c. introduction, growth, maturity, and decline. d. introduction, maturity, expansion, and decline. e. growth, expansion, peak, and maturity.

introduction, growth, maturity, and decline.

Recognizing what stage of its life cycle a product is in has a direct impact on marketers' decisions about: a. marketing strategy. b. product testing. c. screening. d. cost estimates. e. product evaluation.

marketing strategy

The _______ of the product mix is the number of product lines it contains; while, the _______ of the mix is the average number of individual products with each line. a. width; length b. height; length c. height; depth d. depth; width e. width; depth

width; depth

Which item below best represents a product line? a. Chase Bank offering ATMs and auto loans b. Procter & Gamble offering laundry detergent and "Swiffer" brooms c. DirecTV offering internet service and cable service d. AT&T offering phone service and phones e. Coca Cola offering Cherry Coke and Diet Coke

Coca Cola offering Cherry Coke and Diet Coke

What are three kinds of pricing methods? a. Demand-based pricing, supply-based pricing, and competition-based pricing b. Cost-based pricing, demand-based pricing, and supply-based pricing c. Profit-based pricing, competition-based pricing, and cost-based pricing d. Cost-based pricing, supply-based pricing, and profit-based pricing e. Competition-based pricing, cost-based pricing, and demand-based pricing

Competition-based pricing, cost-based pricing, and demand-based pricing

Which of the following is NOT classified as a category of business products? a. Supply b. Component part c. Raw material d. Line extension e. Business service

Line extension

Pricing strategies are flexible and may include markdowns and price incentives during which stage of a product life-cycle? a. Decline stage b. Introduction stage c. Growth stage d. Maturity stage

Maturity stage

What pricing strategy has a low initial entry price (often lower than the eventual market price) to attract many customers, discourage competition, and build market share quickly? a. Price skimming b. Customary pricing c. Periodic discounting d. Price lining e. Penetration pricing

Penetration pricing

What is the aim of test marketing? a. To determine potential buyers' attitudes through a written or oral description of the product b. To determine how product would affect the firm's overall sales, costs, and profits c. To determine if it is technologically feasible to produce the product d. To determine whether the company has personnel with the correct expertise to develop and market the product e. To determine buyers' probable reactions

To determine buyers' probable reactions

Which of the following is a major function of packaging? a. To increase costs b. To blend in with other packaging c. To not be easily disposable or reusable d. To be more aesthetically pleasing than it is functional e. To promote a product by communicating its features

To promote a product by communicating its features

What are the five types of discounts for business products? a. Cash discounts, bundle discounts, trade discounts, quantity discounts, and seasonal discounts b. Trade discounts, quality discounts, special event discounts, seasonal discounts, and allowance c. Comparison discounts, bundle discounts, quality discounts, quantity discounts, and trade discounts d. Trade discounts, quantity discounts, cash discounts, seasonal discounts, and allowance e. Customary discounts, trade discounts, seasonal discounts, quantity discounts, and allowance

Trade discounts, quantity discounts, cash discounts, seasonal discounts, and allowance

To use _______ most effectively, a seller must have the flexibility to change prices often, rapidly, and aggressively in response to competitors' price changes. _______ is most effectively used when the seller can make its product stand out through distinctive product quality, customer service, promotion, packaging or other features.

price competition; Non-price competition

Products the consumer buys only after comparing value, quality, price, and style from a variety of sellers are goods or services called: a. component products. b. shopping products. c. unsought products. d. convenience products. e. specialty products.

shopping products

What are the three levels of brand loyalty (listed from the weakest to strongest form of brand loyalty)? a. Brand insistence, brand quality, and brand association b. Brand recognition, brand quality, and brand insistence c. Brand recognition, brand preference, and brand insistence d. Brand preference, brand association, and brand insistence e. Brand association, brand recognition, and brand preference

Brand recognition, brand preference, and brand insistence

Which of the following statements is true with regards to buyer's sensitivity to price? a. All buyers are influenced by price in the same way. b. A lower price may be appropriate if a product is considered superior to others in its category. c. A premium price may be necessary if buyers have even a slightly negative product perception. d. If buyers equate price and quality, then lower prices may improve a product's image. e. Consumer price sensitivity can vary between products

Consumer price sensitivity can vary between products.

Products created for household or family use and intended for daily living are called: a. convenience products. b. shopping products. c. specialty products. d. consumer products. e. business products.

Consumer products

What are the seven stages of new-product development in order from start to finish? a. Idea generation, screening, concept testing, business analysis, product development, commercialization, and test marketing b. Idea generation, screening, concept testing, business analysis, product development, test marketing, and commercialization c. Idea generation, concept testing, screening, business analysis, product development, test marketing, and commercialization d. Concept testing, idea generation, business analysis, screening, product development, test marketing, and commercialization e. Screening, idea generation, concept testing, product development, business analysis, test marketing, and commercialization

Idea generation, screening, concept testing, business analysis, product development, test marketing, and commercialization

_____ is the amount of money a seller is willing to accept in exchange for the product at a given time and under given circumstances. a. Branding b. Distribution c. Product d. Promotion e. Price

Price

Which of the following is not a way in which price functions as an allocator? a. Price helps customers to allocate their own financial resources among various want-satisfying products. b. Price allocates product quality equally among consumers. c. Price allocates financial resources (sales revenue) among producers according to how well they satisfy customers' needs. d. Price allocates goods and services among those who are willing and able to buy them.

Price allocates product quality equally among consumers.

_______ refers to changing one or more of a product's characteristics; while, a _______ is the development of a product closely related to one or more products in the existing product line but designed specifically to meet somewhat different customer needs. a. Product line; line extension b. Product line; product deletion c. Product modification; product deletion d. Product modification; line extension e. Line extension; product modification

Product modification; line extension

What are the five categories of pricing strategies? a. Product-line pricing, supply/demand pricing, promotional pricing, differential pricing, and new-product pricing b. Product-line pricing, promotional pricing, differential pricing, new-product pricing, and psychological pricing c. Psychological pricing, profit pricing, differential pricing, product-line pricing, and promotional pricing d. Differential pricing, competition pricing, psychological pricing, product-line pricing, and promotional pricing e. Cost-based pricing, new-product pricing, differential pricing, supply/demand pricing, and psychological pricing

Product-line pricing, promotional pricing, differential pricing, new-product pricing, and psychological pricing

Which of the following pricing objective goals is impossible to define and thus impossible to achieve? a. Market-share goals b. Status-quo pricing c. Target return on investment d. Profit maximization e. Survival

Profit maximization

This is a type of psychological pricing in which a lower-priced item is compared to a more expensive brand in hopes that the consumer will use the higher price as a comparison price. a. Reference pricing b. Price skimming c. Penetration pricing d. Multiple-unit pricing e. Captive pricing

Reference pricing