Exam 3, Chapters 11, 12, 13

Which adopter category refers to the last large group of buyers to enter a new product market? Multiple Choicelate majorityearly majoritylaggardsearly adoptersinnovators

Late majority

What is the problem associated with service quality standards such as "be nice" or "do what the customers want"? Multiple ChoiceThey create low expectations.They are not specific.They do not allow for the voice-of-customer process.Most employees are unwilling to do what customers want.They create a delivery gap.

They are not specific.

By providing good customer service, firms ________Blank their products. Multiple Choiceeliminate the communication gap foradd value toreduce the assurance forcreate the empowerment cost associated withincrease the perishability of

add value to

The product life cycle is theoretically ________Blank with regard to sales and profits. Multiple Choicea straight lineY-shapedbell-shapedcircularperpendicular lines

bell shaped

Pioneer or breakthrough products are those that Multiple Choicewill likely result in late maturity buying.can change consumer preferences.incorporate reverse engineering outputs.require the use of concept-testing services.must be geographically centered.

can change consumer preferences

Ricardo envisions an unclouded future for his new venture. He might be overlooking the fact that pioneers sometimes lose market share to imitators who Multiple Choicecapitalize on the pioneers' weaknesses.create similar products with reduced value to consumers.utilize alpha-beta testing.ignore patents and copyrights.target late maturity consumers.

capitalize on the pioneers' weaknesses.

Firms can reduce the ________Blank gap by managing consumers' expectations and promising only what can be delivered or possibly even a little less. Multiple Choice knowledge communication delivery standards empowerment

communication

One of the categories of products for which brand extension is especially logical is Multiple Choicegeneric goods.generic services.commodities.complementary goods.licensed brands.

complementary goods.

When Lyft tries to understand what customers are looking for in booking a ride, it is thinking about the ________Blank component of the product offer. Multiple Choice core customer value associated service saugmented products product support purchasing parity

core customer value

During the ________Blank stage of the product life cycle, firms either position themselves for a niche segment of diehard consumers or they completely exit the market. Multiple Choiceintroductionlevelingmaturitygrowthdecline

decline

Which group is essential for bringing the other buying groups into the market? Multiple Choicematureslaggardslate majorityearly majorityearly adopters

early adopters

The ________Blank diffusion of innovation group is crucial because few new products can be profitable until this large group buys them. Multiple Choiceinnovatorlaggardlate majorityearly majorityearly adopter

early majority

The value of a brand can be defined as the Multiple Choicedifference between brand equity and brand liability.corporate profitability divided by the monthly brand earnings.earning potential of the brand over the next 12 months.effect of brand dilution if it occurred.average product line depth.

earning potential of the brand over the next 12 months.

Along the service-product continuum, which one of these is the most product dominant? Multiple Choicegrocery storeauto repair shopdoctor's officecell phone service providerrestaurant

grocery store

Learn 'n' Play Day Care Center says its services are ________Blank, meaning they are produced and consumed at the same time. Multiple Choiceintangibleinseparableheterogeneousperishableperipheral

inseparable

Clear Vision Eye Care is finding it difficult to distinguish itself from the competition since it can't describe its services in terms of touch or taste. Which aspect of service is causing difficulty for the company? Multiple Choiceheterogeneousinseparableintangibleperishablesubstantial

intangible

Marketers with successful brands sometimes hesitate to expand their brands because Multiple ChoiceFederal Trade Commission regulations limit the number of products that can be marketed under an individual brand name.it is costly to maintain many product lines, and it might weaken the brand's meaning.it is often difficult to get additional marketing communications coverage for the brand.manufacturing divisions usually control brand expansion and are often in conflict with the marketing division.the current economy can support only a limited number of product options.

it is costly to maintain many product lines, and it might weaken the brand's meaning.

Maclaren, which makes baby strollers, recently agreed to market a BMW-branded baby stroller to appeal to new dads. This is an example of a deal for ________Blank rights. Multiple Choicebrandinglicensingproduct linerebrandingrepositioning

licensing

For marketers, one of the benefits of achieving brand loyalty is Multiple Choicerecognition through industry awards.lower marketing costs associated with reaching loyal customers.increased price sensitivity among loyal customers.greater concern about competitors' actions.few worries about copyright infringement.

lower marketing costs associated with reaching loyal customers.

During the ________Blank stage of the product life cycle, sales peak and profits begin to decline as competition becomes intense. Multiple Choiceintroductionlevelingmaturitygrowthdecline

maturity

he diffusion of innovation theory is useful to marketers in helping them Multiple Choiceadjust to the performance life cycle.avoid the cost of concept testing.predict which types of customers will buy their product immediately and later.predict how long it will take for a new product to gain market acceptance.identify a target market.

predict which types of customers will buy their product immediately and later.

By setting appropriate service standards and measuring service performance, firms can attempt to close a ________Blank gap. Multiple Choiceseniorityknowledgestandardsdeliverycommunication

standards

What is an example of primary packaging? Multiple Choicethe original shipping containerthe box containing the toothpaste tubethe wrapped pallet of productsthe envelope containing the contact lens boxesthe dental floss dispenser

the box containing the toothpaste tube

Susan is working to create greater brand awareness for her company's new line of sport watches. The least important piece of information she should include in promotions is Multiple Choicethe brand name.the logo.the packaging.the slogan.the product history.

the product history.

Microsoft's Windows operating system continues to dominate the market, even though it has been around for over 20 years. Windows will likely remain in the maturity stage of the product life cycle Multiple Choiceindefinitely.unless Microsoft repositions it as a growth product.until a superior product comes along to replace it.unless Microsoft repositions it as an introductory stage product.as long as the company doesn't change it.

until a superior product comes along to replace it.

When Mila arrived at the newly opened hair styling salon and saw that the floor had not been swept of hair and there were dirty towels on one of the chairs, she chose to go elsewhere. A dirty store was not in Mila's ________Blank, which is the difference between what she really wants and what she will accept before looking for another salon. Multiple Choice zone of tolerance delivery gap zone of intolerance service gap patience zone

zone of intolerance

How has the dependence on services changed in the U.S. economy? Multiple ChoiceServices do not play as large a role in the U.S. economy as they did 10 years ago.Services and products represent equal percentages of the U.S. gross domestic product.Services continue to play a minor role in the U.S. economy.Services are not considered a component of the U.S. gross domestic product.Today, services account for a higher percentage of gross domestic product than in previous decades.

Today, services account for a higher percentage of gross domestic product than in previous decades.

Julie works in an appliance store. What aspect of the product is she describing when she explains that each refrigerator comes with a five-year extended warranty and a seven-year maintenance plan? Multiple Choiceactual productassociated servicesbrand equityproduct positionproduct concept

associated services

The shape of the diffusion of innovation curve is described as Multiple Choicebell-shaped.positive.negative.a straight line.convex.

bell-shaped

Ferrari is well known as a brand of luxury sports cars that has leveraged its brand name to introduce clothing emblazoned with its horse logo. It has also licensed its logo to 68 different other products, from sunglasses to guitars. If consumers begin to doubt the luxury status of the cars because anyone can afford a pair of sunglasses, Ferrari might be at risk of Multiple Choicebrand awareness.perceived value.brand extension.brand dilution.line extension.

brand dilution

Harley-Davidson's cake decorating kit tried to appeal to the brand's unparalleled consumer loyalty, but it was considered too tame by the company's consumer base. This is an example of Multiple Choicecorporate branding.brand extraction.brand collusion.brand personality destruction.brand dilution.

brand dilution.

Sometimes brand names like Xerox become synonymous with a product itself. If that happens, the brand Multiple Choicehas achieved brand stabilization.could lose its trademark status.should try co-branding to avoid brand dilution.should consider a new packaging strategy.easily eliminates all competition.

could lose its trademark status.

Empowerment of employees helps address the delivery gap because Multiple Choiceemployees directly involved with the customer can respond effectively at the moment the problem occurs.customers appreciate feeling empowered.management then doesn't need to devote time and energy to resolving service delivery problems.employees spend less time resolving problems than managers would.it is best to resolve issues at the corporate level.

employees directly involved with the customer can respond effectively at the moment the problem occurs.

When allocated carefully, marketing expenditures can result in greater brand recognition, awareness, perceived value, and consumer loyalty for the brand, which all enhance the brand's Multiple Choicepositioning.licensing.association.equity.solvency.

equity.

Nancy plans for her start-up to be the first mover in the market. A major struggle her company will face is that it Multiple Choicemust modify a competitor's product without reproducing it.uses prototypes to dominate the market.does not have access to test marketing.has the job of establishing the market alone.will rely on laggards to buy their products.

has the job of establishing the market alone.

Innovators are a critical group of new product adopters because they Multiple Choicecontinue to buy the product after a new product is introduced.act as reverse engineering consultants.help with test marketing.help the product gain market acceptance.extend the product life cycle.

help the product gain market acceptance.

One approach marketers are using to reduce service ________Blank is to replace people with machines whenever appropriate. Multiple Choiceintangibilityinseparabilityspendabilityperishabilityheterogeneity

heterogeneity

What describes the variability in a service's quality? Multiple Choiceheterogeneityperishabilityservice gapdelivery gapcommunications gap

heterogeneity

One important purpose of a brand is to Multiple Choicecapture advertising space.minimize product line depth needed to be effective.increase consumer recognition and awareness.reduce product packaging.meet government regulations.

increase consumer recognition and awareness.

When a product is successful in the introductory stage of the product life cycle, Multiple Choiceit moves directly into the maturity stage.it is most likely to begin to launch spinoffs.competition becomes less important.it may start to see profits toward the end of this stage.marketing costs increase significantly.

it may start to see profits toward the end of this stage.

Firms can close the ________Blank gap by matching customer expectations with actual service through use of marketing metrics. Multiple Choiceseniorityknowledgestandardsdeliverycommunication

knowledge

Green Thumb's line of riding mowers faces intense competition on price. This product is in the ________Blank stage. Multiple Choice introduction growth decline developmentmaturity

maturity

Kraft, Nike, KitchenAid, and Sony are considered famous ________Blank brands because they are owned and managed by the manufacturer. Multiple Choicenationalretailerinternationalpremiumfamily

national

For new-product marketers, early adopters are important because they tend to be Multiple Choicefew in number.the first to adopt a new product.opinion leaders.fond of prototypes.alpha testing enthusiasts.

opinion leaders.

Because services like cruises and car rentals are perishable, many marketers use Multiple Choicepricing strategies to match supply with demand.service quality to extend the life of the product.incentives to encourage staff to deliver according to standards.training to standardize delivery.

pricing strategies to match supply with demand.

Coca-Cola is a huge national brand manufacturer. By owning its own brands, Coca-Cola Multiple Choicecan monopolize store brands.has greater opportunity to dictate retail pricing.retains greater control over its marketing strategy.can increase brand dilution.can eliminate any local competition.

retains greater control over its marketing strategy.

When Chloe, an athletic trainer, invented a new heart monitor for runners, she could expect during the introductory stage that Multiple Choicesales would rise quickly, profits would jump, and even laggards would buy her product.sales would level off, profits would decline, and mature runners would be attracted to her product.sales would slow down, profits would peak, and early adopters of running equipment would be her major customers.sales would be low and profits nonexistent, but she would attract running equipment innovators.sales would be low, profits would be high, and all potential runners would jump at the opportunity to buy her product.

sales would be low and profits nonexistent, but she would attract running equipment innovators.

When the delivery of a service fails to meet customers' expectations, a ________Blank gap exists. Multiple Choiceserviceknowledgestandardsproductionprocedural

service

Services marketing managers have learned that more employees will support a quality-oriented process if Multiple Choicethey are involved in setting the goals.perishable services are replaced with tangible services.they are required to diverge from existing standards.customers are responsible for setting service quality standards.the process involves both part-time and full-time employees.

they are involved in setting the goals.

Customers have a defined ________Blank when it comes to waiting in line at a retail checkout counter. The amount of time consumers are willing to wait varies with the type of store. Multiple Choicevoice-of-customer quotientempowerment standardtangibles gapzone of tolerancequality gap

zone of tolerance