MARK 3000 CH 12, MARK 3000 CH 11, Mark 3000 Ch 10

Which of the following is an unstructured question? A. "What are the most important characteristics for choosing a brand of shampoo?" B. "How satisfied were you with your last shampoo purchase: very unsatisfied, unsatisfied, neutral, satisfied, or very satisfied?" C. "Were you happy with the quality of the shampoo you purchased (Yes/No)?" D. "On a scale from 1 to 5 (with 1 being very unimportant and 5 being very important), how important is fragrance when choosing a shampoo?" E. "How many brands of shampoo have you purchased in the past year: 0, 1, 2, 3, 4, 5, or more than 5?"

A. "What are the most important characteristics for choosing a brand of shampoo?"

Which of the following is not a characteristic of products in the maturity stage of the product life cycle? A. Laggards are a major focus of marketing efforts. B. Price competition is intense. C. Marketing costs increase as firms defend their market share. D. The market may become saturated because nearly all potential customers have adopted the product. E. To increase the customer base, firms consider entry into new markets and new market segments.

A. Laggards are a major focus of marketing efforts.

Which of the following statements best describes secondary data? A. Secondary data are pieces of information that have been collected prior to the start of the focal research project. B. Secondary data are those data collected to address specific research needs. C. Secondary data collection is always extremely time-consuming and expensive. D. Secondary data will always meet the researchers' needs. E. Secondary data include only qualitative research.

A. Secondary data are pieces of information that have been collected prior to the start of the focal research project.

________ is another term for private-label brands. A. Store brands B. Off brands C. Manufacturer's brands D. National brands E. Experiential brands

A. Store brands

Which of the following statements regarding brand loyalty is not true? A. The marketing costs of reaching loyal customers are typically very high. B. Brand loyal customers are unlikely to switch to competitor's brands. C. Brand loyal customers generate positive word of mouth. D. Firms tend to reward brand loyal customers with extra benefits. E. Brand loyal customers do not need persuasion to buy the firm's brands.

A. The marketing costs of reaching loyal customers are typically very high.

When a company launches a new product line with an existing brand name, this is known as A. a brand extension. B. a line extension. C. a multi-brand. D. a new brand. E. co-branding.

A. a brand extension.

Which of the following brand strategies is being used when the local ice cream shop decides to add a new flavor to its menu? A. a line extension B. a brand extension C. a copycat brand D. a premium brand E. a multi-brand

A. a line extension

Before Segway manufactured its two-wheeled people movers, it built a prototype and had staff engineers test it for performance and stability. At this stage, Segway was involved in A. alpha testing. B. product launch. C. test marketing. D. beta testing. E. concept testing.

A. alpha testing.

Marketers need to think about the product offer on three levels. Which of the following levels includes associated services such as warranties, financing, support, and after-sale service? A. augmented product B. core customer value C. actual product D. modified product E. core product

A. augmented product

If many consumers in the marketplace are familiar with a brand and what it stands for and have an opinion about the brand, the brand has considerable A. awareness. B. equity. C. extension. D. integration. E. depth.

A. awareness.

If a few of Nintendo's customers are asked to try out a new video game that has not yet been released on the market, this is an example of A. beta testing. B. market testing. C. premarket tests. D. test marketing. E. concept testing.

A. beta testing.

The term _______ refers to the enormous amount of information that firms now have access to but cannot handle using conventional data management and data mining software. A. big data B. churn C. data mining D. data dump E. information overload

A. big data

Marco tried a new fruit-flavored beverage and thought it was awful. He was especially disappointed because he had liked the dried fruit snacks marketed under the same brand name. Now he wasn't sure he even wanted to buy the snacks he had liked before. This highlights a problem in branding known as A. brand dilution. B. comingled brands. C. undifferentiated brands. D. approximated brands. E. unlicensed brands.

A. brand dilution.

When a restaurant chain, Big Burgers, launches its own brand of frozen meals, this is an example of a A. brand extension. B. line extension. C. licensed brand. D. copycat brand. E. premium brand.

A. brand extension.

In many cases, pioneers lose their market lead and initial market share to imitators who A. capitalize on the pioneers' weaknesses. B. create similar products with reduced value to consumers. C. utilize alpha-beta testing. D. ignore patents and copyrights. E. target late maturity consumers.

A. capitalize on the pioneers' weaknesses.

Shell MasterCard, created cooperatively by Shell Oil Company and MasterCard, is an example of A. co-branding. B. brand extraction. C. brand collusion. D. a generic brand. E. brand dilution.

A. co-branding.

Brands are assets that can be legally protected through A. copyrights and trademarks. B. financial reporting. C. brand extensions. D. generic branding. E. corporate branding strategies.

A. copyrights and trademarks.

When manufacturers try to understand what customers are looking for, they are thinking about the _______ component of the product offer. A. core customer value B. associated services C. augmented products D. product support E. quality level

A. core customer value

Supermarkets collect information about individual customers through their use of loyalty cards and then analyze the data to look for patterns in purchases. This is an example of A. data mining. B. data recovery. C. data entry. D. data analysis. E. data modeling.

A. data mining.

For a brand name to be effective, it needs to be A. easy for consumers to recognize and remember. B. a catchy, tongue-twisting phrase. C. a visual image containing human characters. D. generic, so it can be applied to as many products as possible. E. associated with a sports or movie superstar.

A. easy for consumers to recognize and remember.

Which of the following types of research would be considered quantitative research? A. experimental research B. observational research C. focus group research D. social media monitoring E. in-depth interviews

A. experimental research

A(n) __________ is a small group of people brought together for an intensive discussion of a topic. A. focus group B. social media site C. experiment D. data mining session E. in-depth interview

A. focus group

During the __________ stage of the product life cycle, there are few but an increasing number of competitors. A. growth B. introduction C. maturity D. decline E. innovation

A. growth

Marvin is looking for data to help him with a new marketing research study assigned to him. When reviewing existing secondary data from a past research study, Marvin should pay careful attention to A. how the secondary data were collected. B. where the data were warehoused. C. whether or not the Census Bureau has certified the research. D. whether the data were transformed into information. E. how often primary data were substituted for secondary data.

A. how the secondary data were collected.

Victor's custom auctioneering service provides online auction selling assistance. Victor plans to conduct marketing research to determine which auction site is best for his customers. His next step is to A. identify the type of data he needs. B. determine the statistical software he will use. C. outline the presentation format he will use. D. collect data. E. define his privacy policy.

A. identify the type of data he needs.

Randall wants to do an online survey of college professors about the factors that influence their textbook selection. He would like to use a structured survey but is not sure what responses to include for each question. Randall could use __________ to help him develop his survey. A. in-depth interviews B. experiments C. surveys D. observation E. primary data mining

A. in-depth interviews

Consumers might not realize that Old Spice health and wellness products and Iams pet nutrition products are made by the same company—Procter & Gamble. Old Spice and Iams are known as A. individual brands. B. family brands. C. corporate brands. D. traditional brands. E. umbrella brands.

A. individual brands.

Whenever Donald considers upgrading his personal computer system, he consults with Jeremy, a knowledgeable friend who always has the newest technology. For Donald, Jeremy is a(n) __________ in the diffusion of innovation curve. A. innovator B. laggard C. late majority adopter D. early majority adopter E. early adopters

A. innovator

Which of the following is the correct sequence of new product adopters in the diffusion of innovation curve? A. innovators, early adopters, early majority, late majority, laggards B. early adopters, early majority, innovators, late majority, laggards C. innovators, early majority, early adopters, innovators, late majority, laggards D. early majority, late majority, early adopters, innovators, laggards E. innovators, late majority, early adopters, early majority, laggards

A. innovators, early adopters, early majority, late majority, laggards

Which of the following types of data would be the best choice for Wendy's fast-food restaurants if the headquarters office wants to know how many hamburgers versus chicken sandwiches it has sold in past years? A. internal secondary data B. external secondary data C. survey responses D. focus group data E. primary data

A. internal secondary data

During the __________ stage of the product life cycle, sales are low and profits are small or negative. A. introduction B. leveling C. maturity D. growth E. decline

A. introduction

In questionnaire design, a question such as "Do anti-lock braking systems reduce car accidents?" A. is a question that respondents cannot easily or accurately answer. B. is a question that respondents are reluctant to answer because the information is sensitive. C. steers respondents to a particular response. D. asks two questions at once. E. is one sided, presenting only one side of an issue.

A. is a question that respondents cannot easily or accurately answer.

In questionnaire design, a question such as "When was the first time you went to a dentist?" A. is a question that respondents cannot easily or accurately answer. B. is a question that respondents are reluctant to answer because the information is sensitive. C. leads respondents to a particular response. D. asks two questions at once. E. is complex and something respondents may be unfamiliar with.

A. is a question that respondents cannot easily or accurately answer.

One key feature of the value of a strong brand is that A. it can protect the firm from competition. B. it no longer needs to be supported by advertising and promotion. C. if it becomes a generic name, the brand is worth even more. D. it cannot be successfully imitated by a retailer's own brand. E. competitors will typically abandon a sector altogether rather than compete.

A. it can protect the firm from competition.

The manager of a company selling baby products asks you to conduct research into the following question: Is life expectancy getting longer in Kuwait? The problem with this research objective is that A. it is irrelevant to the baby products company. B. it is already known and available from the U.S. Census Bureau. C. it will lead to a set of unstructured questions. D. it is a research question that probably cannot be answered with any level of accuracy. E. it is a question related to another culture.

A. it is irrelevant to the baby products company.

Computer game companies constantly monitor computer game-related blogs keeping track of the latest hot products, because they know that their customers crave the "latest and greatest" games. They use this information to create new products that primarily provide the benefit of A. keeping up in a market where sales come mostly from new products. B. satisfying the changing needs of former customers. C. avoiding market penetration from products that have been on the market for a long time. D. creating diversification and reducing risk. E. taking advantage of a long product cycle.

A. keeping up in a market where sales come mostly from new products.

Which of the following adopter categories refers to the last large group of buyers to enter a new product market? A. late majority B. early majority C. laggards D. early adopters E. innovators

A. late majority

Which of the following best describes when Johnson & Johnson introduces a travel-sized package for its existing baby oil product? A. line extension B. brand extension C. brand dilution D. rebranding E. co-branding

A. line extension

The marketing research process follows five steps, and researchers A. may not always go through them in the exact sequence if the situation changes or new information is discovered. B. should maintain the integrity of the process by following each step sequentially and thoroughly. C. often collect data before defining the research objectives. D. should be prepared to present the results before completing the analysis if they are under a great deal of pressure to meet a deadline. E. may follow the process by completing all steps at once instead of planning the process first.

A. may not always go through them in the exact sequence if the situation changes or new information is discovered.

One of the key characteristics of brainstorming sessions is A. no idea is immediately accepted or rejected. B. everyone must come up with ideas. C. the first idea is almost always the best idea. D. only the marketing team is included in these sessions. E. the manager should always make the final decision.

A. no idea is immediately accepted or rejected.

When consumers are unable to articulate their experiences, __________ becomes particularly useful in understanding consumers' preferences. A. observation B. surveying C. in-depth interviewing D. primary data mining E. a focus group

A. observation

Qualtrics, SurveyMonkey, and Zoomerang are examples of A. online survey software. B. biometric data companies. C. data warehouses. D. syndicated data companies. E. focus group programs.

A. online survey software.

Data collection begins A. only after completing the research design process. B. after determining whether there are any objections. C. whenever the researcher wants to. D. after creating the presentation format. E. after analyzing the data.

A. only after completing the research design process.

A restaurant chain is working on improving the quality of its food and service. To track its progress it recruits customers who agree to respond to customer satisfaction surveys once every three months over the next two years. What kind of data is the restaurant chain collecting? A. panel data B. internal secondary data C. focus group data D. external secondary data E. scanner data

A. panel data

Relatively few consumers like to go to the dentist. Dental insurance plans that pay for regular checkups increase the __________ of dental care by reducing the cost to the consumer. A. perceived value B. brand awareness C. brand loyalty D. generic positioning E. brand extension

A. perceived value

In one test before product launch, customers try a sample product and are then surveyed to understand whether or not they would buy/use the product again. This is known as A. premarket testing. B. market testing. C. alpha testing. D. concept testing. E. prelaunch testing.

A. premarket testing.

Lorraine belongs to a national consumer panel created by a market research company. She regularly receives samples of new products from a variety of firms and fills out questionnaires about the products. The national consumer panel Lorraine is part of is engaged in A. premarket testing. B. product launch. C. test marketing. D. product development. E. concept testing.

A. premarket testing.

A toothpaste tube is an example of a ________ package. A. primary B. secondary C. brand positioning D. private-label E. convenience

A. primary

After reviewing the existing data on seasonal spending by his company's customers, Marvin decided he needed to collect new information to address his research questions. Marvin will need __________ data to address the questions in his marketing research study. A. primary B. secondary C. mined D. syndicated E. warehoused

A. primary

When a research team has gathered data for specific research needs, this is known as A. primary data. B. data mining. C. secondary data. D. data recovery. E. data modeling.

A. primary data.

Suppose that Walgreens (a major drug store chain) wants to introduce its own brand of cough medicine that is similar in content and packaging to a national brand, but at a lower cost. What kind of brand would Walgreens be introducing? A. private-label brand B. counterfeit brand C. premium brand D. national brand E. manufacturer's brand

A. private-label brand

A __________ is a group of associated items that consumers tend to use together or think of as part of a group of similar products. A. product line B. product mix C. product mix breadth D. line extension E. brand extension

A. product line

Which of the following is not part of the "actual product" level of the product offer? A. product warranty B. features C. design D. quality E. brand name

A. product warranty

Which of the following is not one of the important functions of labels on products and packages? A. protecting against damage to the product B. providing consumer information to assist in purchasing C. identifying the brand and building brand image D. promoting the brand or complementary brands E. listing the ingredients

A. protecting against damage to the product

Which of the following provides the information needed to confirm insights and help managers pursue appropriate courses of action? A. quantitative research B. qualitative research C. observation research D. in-depth interviews E. social media monitoring

A. quantitative research

Once a marketing researcher is ready to move beyond preliminary insights to specific, informed questions, the researcher is ready to conduct A. quantitative research. B. data warehousing. C. syndicated marketing surveys. D. qualitative research. E. research design.

A. quantitative research.

Ella had been using an imported brand of shampoo for several years, but she could no longer find it anywhere. As she was considering what kind of shampoo to try, she was surprised to see ads for Procter & Gamble's Head and Shoulders being promoted as a glamorous health-oriented product. She had always thought of Head & Shoulders as an antidandruff shampoo. The new ads suggest that Head & Shoulders has most likely been A. rebranded. B. reformulated. C. licensed to a premium shampoo manufacturer. D. extended as a brand. E. co-branded.

A. rebranded.

Which of the following is not one of the benefits to a firm of new product development? A. reducing the costs of production B. satisfying the changing needs of current and new customers C. avoiding market saturation from products that have been on the market for a long time D. creating diversification and reducing risk E. keeping up in a market with short product life cycles where sales come mostly from new products

A. reducing the costs of production

Early personal computer users remember the cumbersome, user-unfriendly DOS system. When Apple introduced System 1 and Microsoft introduced Windows, both of which were much easier to use, these new products diffused rapidly because of their A. relative advantage. B. compatibility. C. observability. D. associated services. E. trialability.

A. relative advantage.

Inkjet printers were a big improvement over the dot-matrix printers they replaced. Inkjet printers gained rapid acceptance in the marketplace primarily because of their A. relative advantage. B. compatibility. C. observability. D. complexity. E. trialability.

A. relative advantage.

Brian is trying to sell a new line of ultrasound imaging equipment. Unlike existing technology, these machines are compact, creating the potential for general practice physicians to have and use them in their offices. Brian is trying to identify innovators in his market, knowing these customers will most likely A. spread positive word of mouth to other physicians. B. buy one for each office in their practices. C. reposition his products. D. create demand among the late majority. E. not need any service or support when using the product.

A. spread positive word of mouth to other physicians.

When conducting a research study attempting to understand what features were most important to automobile consumers, Gary's Research Company used a questionnaire containing __________ questions, with a predetermined set of response options. A. structured B. in-depth interview C. open-ended D. free-form E. unstructured

A. structured

Which of the following is a systematic means of collecting information from people using a questionnaire? A. survey B. experiment C. scanner study D. in-depth interview E. focus group

A. survey

Malcolm is the campaign manager for a congressional candidate. He wants to know how voters across his district feel about recent sexual harassment scandals involving politicians. Malcolm will most likely use __________ to gather this type of data. A. surveys B. observation C. experiments D. voter registration data E. census data

A. surveys

Quantitative research offers a means to confirm ideas through A. surveys or experiments. B. in-depth interviews. C. data mining. D. qualitative research. E. informal analysis.

A. surveys or experiments.

If a marketing researcher has to collect data under severe time constraints, which of the following types of data sources would probably be available soonest? A. syndicated data B. focus group data C. experimental data D. panel data E. survey data

A. syndicated data

When conducting marketing research, researchers assess the value of a project through benefit-cost analysis, which weighs A. the benefits of answering questions against the cost of the research. B. the benefit of qualitative research against the cost of quantitative research. C. the benefit of primary data research against the cost of secondary data research. D. the benefit of a data warehouse against the cost of syndicated data. E. the benefit of internal secondary data against the cost of external secondary data.

A. the benefits of answering questions against the cost of the research.

When a salesperson calls you to sell a cemetery plot, this is most likely what type of product? A. unsought product B. shopping product C. convenience product D. line extension E. secondary product

A. unsought product

Beverly is assessing the results of a new product launch of a series of e-books for her bookstore. When evaluating the results, Beverly will likely consider all of the following except A. why it took her so long to consider the new product line. B. if the e-books are generating the expected level of profit. C. if the e-books are generating the expected level of sales. D. if her customers are interested in the new books. E. if the e-books function as expected.

A. why it took her so long to consider the new product line.

The number of participants who discontinue their use of a service divided by the average number of total participants is called A. churn. B. customer retention. C. customer lifetime value. D. cancellation cost. E. customer loyalty.

A. Churn

Which of the following statements is not one of the guidelines provided by the American Marketing Association for conducting marketing research? A. Personal information about research participants should not be shared, except with a designated member of senior management. B. Selling or fund-raising should not be conducted under the guise of conducting research. C. Researchers should not misrepresent data. D. Clients and suppliers should be treated fairly. E. Researchers should not omit pertinent data.

A. Personal information about research participants should not be shared, except with a designated member of senior management.

Omar is responsible for marketing and marketing research for a midsized manufacturer of assemblies for the housing market. His boss has asked him to cut back expenses, especially in marketing research: "Why can't you just use information off the Internet? There's plenty out there." What is Omar's best response to try to get his boss to change his mind? A. "We can try, but if it's wrong it's not my fault." B. "Those are secondary data, and they may not be as timely, accurate, and relevant as what we need. Our decisions may not be as good, and we'll run a huge risk." C. "I'd rather not use any data at all than use secondary data." D. "This is a matter of principle. I quit." E. "You should never use any information from the Internet in marketing research."

B. "Those are secondary data, and they may not be as timely, accurate, and relevant as what we need. Our decisions may not be as good, and we'll run a huge risk."

If a cable television company had 100 million subscribers at the end of the year, and 2 million of its subscribers left its service, it would have a churn rate of A. 1 percent. B. 2 percent. C. 5 percent. D. 10 percent. E. 20 percent.

B. 2 percent.

Which of the following is not one of the five groups in the diffusion of innovation curve? A. Innovators B. Non-adopters C. Late majority D. Early majority E. Early adopters

B. Non-adopters

How is consumer panel data collected during the test marketing phase of a new product introduction? A. Panelists complete a questionnaire about the product. B. Panelists scan their receipts on a home scanning device. C. Stores provide sales data to companies. D. Consumers voluntarily go to a website to record their preferences. E. Focus groups are held in key markets.

B. Panelists scan their receipts on a home scanning device.

_________ involves taking apart a product, analyzing it, and creating an improved product that does not infringe on the competitor's patents. A. Reverse innovation B. Reverse engineering C. Selective dissection D. Redistribution E. Creative destruction

B. Reverse engineering

Which of the following is the best example of a family brand? A. Cadillac, GMC, and Chevrolet B. Tostitos Multigrain Scoops and Tostitos Chunky Salsa C. Kellogg's Special K and Famous Amos Chocolate Chip Cookies D. Lifesavers Soda, Coca-Cola, and Diet Coke E. KFC/Taco Bell fast foods

B. Tostitos Multigrain Scoops and Tostitos Chunky Salsa

Kristina created a virtual prototype of her new line of swimwear on a website to show to consumers. Kristina will ask consumers what they think of the clothing. Which is the most important question that Kristina should ask? A. What retailers should be used to sell the swimwear? B. Will consumers purchase the swimwear if it becomes available? C. What wholesale price should be charged? D. What promotional plan will work best? E. In which season should we introduce the product?

B. Will consumers purchase the swimwear if it becomes available?

When conducting exploratory concept testing for her firm's new Internet antipiracy software, which is the most important question that Dee should ask? A. How long will it take to bring the software to market? B. Will respondents purchase the software if it becomes available? C. Who will determine the price to be charged? D. Where should the product be sold? E. Which computer trade show will be used to introduce the product?

B. Will respondents purchase the software if it becomes available?

The first question a marketing researcher should ask before embarking on a research study is A. Who will pay for it? B. Will the research be useful? C. What is the due date? D. What sample size will be needed? E. Should we use structured or unstructured questions?

B. Will the research be useful?

Brands can be owned by A. manufacturers only. B. any firm in the supply chain. C. retailers only. D. wholesalers and retailers only. E. private-label generic retailers only.

B. any firm in the supply chain.

How might a book publisher use blogs in its marketing research efforts? A. as a place to report marketing research results to top management B. as a source of reviews of its latest releases C. as a location for holding online focus groups about its books D. as a location for conducting online experiments about book purchasing patterns E. as a substitute for large-scale surveys about future book topics

B. as a source of reviews of its latest releases

In a focus group, researchers usually videotape the session in order to A. evaluate the potential for in-depth interviews. B. assess both verbal and nonverbal responses. C. post the videos on the corporate website. D. avoid asking repetitive questions. E. create survey instruments to send to the participants.

B. assess both verbal and nonverbal responses.

What aspect of the product is being described when a used car salesperson explains that each car comes with a one-year extended warranty and a two-year maintenance plan? A. actual product B. associated services C. product style D. product position E. product concept

B. associated services

When conducting a survey about choosing vacation destinations, Hillary will need to __________ in order to get reluctant respondents to provide honest information. A. choose only highly verbal consumers B. assure consumers that their individual responses will be kept confidential C. use only focus group interviews D. ask unstructured questions E. create an efficient data warehouse

B. assure consumers that their individual responses will be kept confidential

Why would a firm spend over $2 million for a 30-second ad on television during the Super Bowl? A. because of the annual competition for the most creative Super Bowl ad B. because the Super Bowl offers an opportunity to create significant brand awareness C. because the Super Bowl is a significant opportunity to be associated with global marketing D. because Super Bowl ads generate brand loyalty E. there is no good reason

B. because the Super Bowl offers an opportunity to create significant brand awareness

Wanda and Jim are working on a research project to anticipate customer attitudes toward a proposed new-product line for their company. They have worked with the marketing manager to determine the answers that are needed and have created a detailed design of the project. Their next logical step will be to A. develop a budget. B. begin to collect data. C. summarize their preliminary conclusions to present to managers. D. begin recommending changes to the new-product line based on ideas developed in the design phase. E. analyze the data.

B. begin to collect data.

One reason auto companies spend millions on racing cars is that they offer the opportunity to test new designs and technology under extreme conditions. Using the cars in a real-use setting provides an opportunity for _______ the product. A. pretesting B. beta testing C. test marketing D. alpha testing E. concept testing

B. beta testing

If a fast-food restaurant collected photographs of its regular customers so that it could use facial detection software to identify visitors captured by security cameras, this would be an example of using A. external secondary data. B. biometric data. C. social media monitoring. D. illegal surveillance methods. E. sentiment mining.

B. biometric data.

A _______ refers to the use of the same brand in a different product line. A. line extension B. brand extension C. product mix extension D. co-brand E. brand license

B. brand extension

Jake developed a toothpaste using only natural ingredients, and he has been quite successful selling the product in health food stores and some grocery stores. He has recently developed a toothbrush using bamboo and natural components. Jake is considering a __________, giving the toothbrush the same brand name as the toothpaste in order to create greater brand awareness. A. co-brand B. brand extension C. premium brand D. joint brand E. natural brand

B. brand extension

When Procter & Gamble added teeth-whitening products under the Crest brand, the firm was engaged in A. corporate branding. B. brand extension. C. brand licensing. D. brand association. E. perceived value branding.

B. brand extension.

Matt was passionate about Abercrombie & Fitch. It was the only place he'd buy his clothes. If anyone asked him about clothes, he would talk for what seemed like hours about why he only shopped there. From a strictly marketing perspective, this word of mouth is an element of A. social marketing. B. brand loyalty. C. self-actualization. D. motivation. E. brand extension.

B. brand loyalty.

The basic reason manufacturers spend time and money building their own brands is to A. create brand awareness. B. build brand equity. C. offset the power of private-label manufacturers. D. create positioning possibilities for their generic product lines. E. maximize product line depth.

B. build brand equity.

Pioneer or breakthrough products A. will likely result in late maturity buying. B. can change consumer preferences. C. incorporate reverse engineering outputs. D. require the use of concept testing services. E. must be geographically centered.

B. can change consumer preferences.

Laptop computers, personal digital assistants, and cellular phones were all readily accepted and diffused in U.S. markets where business and personal lifestyles tend to be faster-paced, compared to many other areas in the world. These products offered __________ with consumers' needs and priorities. A. relative positioning B. compatibility C. observability D. complexity E. trialability

B. compatibility

Sometimes brand names become synonymous with a product itself. If that happens, the brand A. has achieved brand stabilization. B. could lose its trademark status. C. should try co-branding to avoid brand dilution. D. should consider a new packaging strategy. E. easily eliminates all competition.

B. could lose its trademark status.

Walmart is known for its efficient logistical systems. Every time consumers buy something, that purchase is recorded and sent to company headquarters, where it is used to generate reorders to vendors. In addition, customers' billions of purchases are analyzed to uncover patterns of consumers' purchasing behavior. This is an example of A. data isolation. B. data mining. C. secondary data collection. D. sentiment mining. E. qualitative research.

B. data mining.

academic researchers often jump at the opportunity to conduct a research study, curious to learn more and address unanswered questions for the sake of general knowledge. Businesspeople tend to be more cautious before embarking on a marketing research study, recognizing that research is often A. beyond most managers' ability to comprehend. B. expensive and time-consuming. C. an academic exercise of little real value. D. an impediment to decisive management. E. of little use in real marketing situations.

B. expensive and time-consuming.

Firms can measure the success of a new product by all of the following factors except A. satisfaction of its technical requirements. B. fewer competitors in the market. C. satisfactory sales and profits. D. customer acceptance. E. satisfactory performance.

B. fewer competitors in the market.

Frederica manages an upscale women's clothing store. She wants more information about her customers' general feelings about upcoming fall fashions. Frederica will most likely use __________ to gather this type of data. A. door-to-door surveys B. focus group interviews C. syndicated data D. sales invoices E. census data

B. focus group interviews

The decision to delete a product is never taken lightly because, generally, manufacturers A. have offered the product line to other firms for purchase. B. have made substantial investments in product development and manufacturing. C. have promised consumers they will maintain the product. D. have used brand repositioning to improve results. E. must meet federal standards when taking products off the market.

B. have made substantial investments in product development and manufacturing.

Every month, Dr. Combahee takes her staff to lunch and asks them to share patients' comments and concerns. Dr. Combahee uses the lunches as an informal marketing research effort intended primarily to A. provide a link between herself and her profession. B. help her understand the needs of her customers. C. monitor her competitors. D. decrease the uncertainty associated with decision making. E. improve profitability.

B. help her understand the needs of her customers.

In a competitive market, perceived value is determined by consumers mostly A. by quantitative analysis of brand personalities. B. in relationship to the value of competitors' offerings. C. by weighing primary versus secondary benefits. D. by trying out different products. E. through brand association and brand licensing.

B. in relationship to the value of competitors' offerings.

adia stood outside the mall and asked people which stores they visited and if they bought anything. If they said yes, she asked them what they bought and how they came to the decision to buy that item. What form of research was Nadia most likely conducting? A. questionnaire B. in-depth interviews C. experiment D. focus group E. biometrics

B. in-depth interviews

During the introduction stage of a product's life cycle, typical consumers are A. early adopters. B. innovators. C. pioneers. D. early majority. E. laggards.

B. innovators.

A major advantage of primary data collection is A. it can be easily accessed through syndicated databases. B. it can be tailored to meet the specific research needs. C. it takes less time to collect than secondary data. D. it is general enough to meet many different researchers' needs. E. it is less expensive to collect than secondary data.

B. it can be tailored to meet the specific research needs.

The manager of a company selling cellular phones in rural U.S. markets asks you to conduct survey research into the following question: What percentage of people in Kansas live in communities of less than 10,000 people? The problem with this research objective is that A. it is irrelevant to the cellular company. B. it is already known and available from the U.S. Census Bureau. C. it will lead to a set of unstructured questions. D. it is a research question that probably cannot be answered with any level of accuracy. E. it is too expensive to determine the answer.

B. it is already known and available from the U.S. Census Bureau.

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

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

The CEO of David's firm just came back from a business seminar. He called David into his office and stated, "I just found out about the product life cycle curve in a strategy seminar. This is a great tool. I want you to drop whatever you're doing and inventory all of our products to determine exactly where they are in the product life cycle." David needs to think fast for a good answer because he knows that A. the product life cycle is not a useful concept. B. it is often impossible to identify with precision where a product is in the product life cycle. C. the product life cycle is not helpful in companies like his that pay attention to diffusion of innovation. D. the idea has been discredited by recent research. E. the product life cycle works only for certain types of firms.

B. it is often impossible to identify with precision where a product is in the product life cycle.

Bob and George live in the United States. Bob recently asked for George's cell phone number, but George said he didn't own a cell phone. George would probably be considered a(n) __________ in the diffusion of innovation process. A. innovator B. laggard C. late majority adopter D. early majority adopter E. early adopter

B. laggard

When John began helping his favorite uncle Burton with his finances, he discovered his uncle was still renting a rotary-dial telephone from the phone company. Uncle Burton had paid thousands of dollars in rental fees over the previous 40 years. Uncle Burton is a(n) __________ in the diffusion of innovation process for telephones. A. innovator B. laggard C. late majority D. early majority E. early adopter

B. laggard

For marketers, one of the benefits of having achieved brand loyalty is A. recognition through industry awards. B. lower marketing costs associated with reaching loyal customers. C. increased price sensitivity among loyal customers. D. greater concern about competitors' actions. E. few worries about copyright infringement.

B. lower marketing costs associated with reaching loyal customers.

Whether they like them or not, most U.S. automobile customers are familiar with and have an opinion about American-made cars. This familiarity makes it easier for consumers to A. meet their self-actualization needs. B. make purchase decisions. C. consider repositioning their opinions. D. pursue generic alternatives. E. negotiate discounts.

B. make purchase decisions.

Even if they succeed, new-to-the-world products are A. generally not profitable. B. not adopted by everyone at the same time. C. not capable of creating new markets. D. not subject to the law of first movers. E. typically very short-lived.

B. not adopted by everyone at the same time.

In the diffusion of innovation process, innovators enjoy taking risks and are regarded as highly knowledgeable. Marketers want to identify innovators because A. they prefer products from established market leaders. B. other consumers defer to their judgment, creating the opportunity for word-of-mouth referrals. C. they are especially price conscious. D. they are easily influenced by reminder advertising. E. they encourage competitors to enter the market.

B. other consumers defer to their judgment, creating the opportunity for word-of-mouth referrals.

If a new product concept gets positive evaluations from potential customers during concept testing, the next step for a firm is A. market testing. B. product development. C. brainstorming. D. reverse engineering. E. launching of the product.

B. product development.

The __________ step in the product development process is critical, requiring tremendous resources and extensive coordination of all aspects of the marketing mix. A. pretesting B. product launch C. posttesting D. product development E. evaluation of results

B. product launch

A university that has separate graduate and undergraduate admission offices recognizes that these are distinct A. brand associations. B. product lines. C. product mixes. D. brands. E. augmented services.

B. product lines.

Marketers spend billions of dollars annually attempting to build effective brands. One basic benefit of a brand is that it A. creates a basis for effective packaging. B. provides a way for a firm to differentiate its product offerings from competitors. C. offers consumers promotional parity. D. allows manufacturers to capitalize on promotional expenditures. E. reduces the need for product line depth.

B. provides a way for a firm to differentiate its product offerings from competitors.

When the marketing research problem is not clearly defined, a researcher will likely engage in __________ research. A. data mining B. qualitative C. survey D. quantitative E. experimental

B. qualitative

In the infamous Coke/New Coke taste test, 54 percent of consumers, using a blind taste test, preferred the New Coke formula to the existing formulation. This is an example of a(n) __________ marketing research method. A. qualitative B. quantitative C. observational D. syndicated E. invalid

B. quantitative

Some products may stay comfortably in the maturity phase of the product life cycle until a new product emerges to replace them. An example of such a mature product is A. e-books. B. refrigerators. C. the VCR. D. smartphones. E. None of these; no product can stay in the maturity phase and survive for very long.

B. refrigerators.

When a global firm turns to its subsidiaries in less developed markets for new product ideas, such as when Coca-Cola developed Minute Maid Pulpy out of its Shanghai research center and then moved the product into other markets around the world, the firm is engaged in A. a consortia. B. reverse innovation. C. competitive engineering. D. pioneering. E. beta testing.

B. reverse innovation.

A marketing research project often begins with a review of the relevant ________ data. A. primary B. secondary C. quantitative D. unfocused E. structured

B. secondary

Both major political parties have developed proprietary databases that contain vast information about voters, broken down by demographic and geographic information. This kind of information is A. primary data. B. secondary data. C. syndicated data. D. neuromarketing. E. qualitative research.

B. secondary data.

Zappos, an online shoe company, knows shoes are typically a(n) __________ good, with consumers often spending time comparing alternatives. It overcomes that aspect of consumers' search process by offering a free, no-questions-asked return policy. A. specialty B. shopping C. convenience D. ritual E. impulse

B. shopping

Which of the following is not one of the four product life cycle stages? A. introduction B. stagnation C. maturity D. growth E. decline

B. stagnation

It is almost impossible to watch a sporting event on television without seeing Nike's "swoosh" check mark, which is Nike's A. name. B. symbol. C. design. D. term. E. theme.

B. symbol.

Which of the following was not a new-to-the-world product or service when it was introduced? A. Wi-Fi B. the Mercedes mini sport utility vehicle, a smaller version of its larger SUVs C. Microsoft's Windows operating system D. the MP3 player E. flat-screen TVs

B. the Mercedes mini sport utility vehicle, a smaller version of its larger SUVs

Joe is reviewing secondary data his company collected about seasonal variations in consumer spending because he is thinking about developing a new product line. The advantages of using these data include A. they are new and can be used to project overall demand. B. they can be quickly accessed at a relatively low cost. C. they are historical data that can be used to accurately predict future trends. D. they have been collected specifically for the purpose Joe is using it for. E. their high cost can be justified by the results.

B. they can be quickly accessed at a relatively low cost.

When automobile manufacturers introduced SUVs, they distributed and promoted them in the United States, but not in Europe where gasoline is heavily taxed and roads are much smaller. Car manufacturers recognized that this new line of cars A. provided equivalent relative advantage for both European and U.S. customers. B. was not compatible with European market conditions. C. did not provide benefits that were observable. D. involved technology that was too complex. E. could not be easily tried by consumers.

B. was not compatible with European market conditions.

Many restaurants offer daily specials, appetizers, entrees, and desserts not listed on their standard menu. These daily specials primarily provide the new product benefit of A. keeping up in a market where sales come mostly from new products. B. satisfying the changing needs of current and new customers. C. avoiding market saturation from products that have been on the market for a long time. D. creating diversification and reducing risk. E. reduction in cost of ingredients.

B. satisfying the changing needs of current and new customers.

_______ reflect(s) the mental and emotional links that consumers make between a brand and its key product attributes. A. The core customer value B. Brand equity C. Brand associations D. Brand loyalty E. The product mix

C. Brand associations

__________ is the process by which ideas are transformed into new products and services that will help firms grow. A. Beta testing B. Concept testing C. Innovation D. Reverse engineering E. Competition

C. Innovation

Assuming that a marketing research study will answer important questions and reduce uncertainty associated with the proposed project, a major question that needs to be addressed before starting the study is A. How will the results be presented? B. Will observational research be considered intrusive? C. Is top management committed to the study? D. How will the questions be defined? E. Who will manage the research?

C. Is top management committed to the study?

Which of the following is true about quantitative research? A. It is always conducted using primary data collection. B. It revises the research objective based on data mining. C. It confirms insights and provides a basis for taking a course of action. D. It offers conclusions that are always correct. E. It includes focus group interviews.

C. It confirms insights and provides a basis for taking a course of action.

_________ are customers who modify existing products according to their own ideas to suit their specific needs. A. Early adopters B. Market testers C. Lead users D. Reverse engineers E. Concept testers

C. Lead users

_________ is the number of items within a product line. A. Brand equity B. Product line breadth C. Product line depth D. Product mix depth E. Product mix breadth

C. Product line depth

What is neuromarketing? A. The analysis of consumer comments on social media in order to understand consumers' thoughts and opinions. B. The use of psychological principles to design marketing research studies. C. The use of EEG scanners to measure consumers' brain waves. D. The use of neural networks to perform data mining and develop marketing insights. E. The use of in-depth interviews to map detailed networks of information storage in the brain.

C. The use of EEG scanners to measure consumers' brain waves.

Brand extension is a popular marketing strategy because it A. separates out the cost of brand extension from brand intention. B. allows the firm to discontinue complementary products. C. allows the firm to spend less on creating brand awareness and associations. D. avoids the problem of brand dilution. E. guarantees success for a new product.

C. allows the firm to spend less on creating brand awareness and associations.

Barbara is using a test model of her firm's new inline skates to see if they work according to the design specifications. Barbara is involved in A. test marketing. B. product launch. C. alpha testing. D. target marketing. E. concept testing.

C. alpha testing.

Some credit cards provide free liability insurance, funded by the bank issuing the card, when a customer pays for a rental car using the card. This extra insurance is an example of A. product style. B. the actual product. C. an associated service. D. the product position. E. the core value.

C. an associated service.

The product life cycle is theoretically __________ with regard to sales and profits. A. U shaped B. Y shaped C. bell shaped D. circular E. flat lined

C. bell shaped

If a firm has demographic and purchasing information about its customers, the firm can use data mining techniques to A. understand psychographic motivations. B. create marketing mixes based on consumer self-values. C. build separate marketing programs for different demographic segments. D. determine which syndicated data warehouse services to purchase. E. find out which competitors its customers purchase from.

C. build separate marketing programs for different demographic segments.

Marketers selling milk, bread, and other consumer staples know that most customers do not spend much time searching or comparing alternatives. For most consumers, these are _____________ goods. A. specialty B. shopping C. convenience D. ritual E. impulse

C. convenience

Companies that develop customized-business software often work closely with their users when installing their products. This close contact often creates new product ideas through A. reverse engineering. B. licensing technology. C. customer input. D. R&D consortia. E. clinical trials.

C. customer input.

Before deciding on a new promotional campaign, Jeffrey's Muffins looked at its customers' buying patterns over a 15-year period as determined by their use of a loyalty card. What method did Jeffrey's use to make sense of the data that were available? A. biometrics B. neuromarketing C. data mining D. data warehousing E. panel data

C. data mining

If a firm eliminates a product line, then it is A. increasing its product line depth. B. decreasing its product line depth. C. decreasing its product mix breadth. D. increasing its product mix breadth. E. introducing brand extensions.

C. decreasing its product mix breadth.

Marketing research begins with A. designing the research project. B. analyzing data. C. defining objectives and research needs. D. presenting results. E. creating the data collection process.

C. defining objectives and research needs.

The process by which the use of a new product or service spreads throughout a market group is referred to as A. new product introduction. B. lead user dispersion. C. diffusion of innovation. D. the product life cycle. E. product development diffusion.

C. diffusion of innovation.

Marketers with luxury brands use brand extension cautiously in order to avoid A. brand licensing fees. B. exclusive co-branding arrangements. C. diluting the core brand. D. private-label branding disputes. E. product line extension limitations.

C. diluting the core brand.

The value of a brand is often calculated by assessing the A. difference between brand equity and brand liability. B. corporate profitability divided by the monthly brand earnings. C. earning potential of the brand over the next 12 months. D. effect of brand dilution if it occurred. E. average product line depth.

C. earning potential of the brand over the next 12 months.

One of the potential benefits to a firm of introducing new-to-the-world products or services is A. cost savings. B. late majority marketing. C. establishment of a completely new market. D. the ability to avoid paying pioneers for new product development. E. the ability to capitalize on existing consumer preferences.

C. establishment of a completely new market.

Which of the following is not a stage in the product life cycle? A. introduction B. growth C. evaluation D. maturity E. decline

C. evaluation

Digital billboards embedded with ________ software can identify passersby and then display ads targeted to them, based on their age, gender, and attention level. A. social media B. neuromarketing C. facial recognition D. Internet tracking E. data mining

C. facial recognition

Martin has hired a marketing research company to bring together a small group of soft drink consumers and get feedback on the three new advertising slogans his firm is considering. The marketing research firm might conduct a(n) __________ to provide the information Martin has requested. A. industry survey B. experiment C. focus group D. observational study E. primary data mining analysis

C. focus group

Tyree is concerned about a competitor's new line of outdoor barbeque grills that provide most of the same features as his products. Tyree might consider using __________ to gather qualitative information from consumers about the competitor's offerings. A. industry surveys B. experiments C. focus groups D. observation E. primary data mining

C. focus groups

Nora is deciding whether to purchase brand-name sneakers or a less expensive store brand. She has purchased other shoes with the same brand name in the past but was only marginally satisfied. In this situation, Nora is likely to purchase the store brand sneakers because they offer A. more brand awareness. B. higher degrees of brand loyalty. C. greater perceived value. D. a better brand image. E. more product line depth.

C. greater perceived value.

Procter & Gamble is a huge national brand manufacturer. By owning its brands like Tide and Crest, P&G A. can monopolize store brands. B. has greater opportunity to dictate retail pricing. C. has greater control over its marketing strategy. D. can increase brand dilution. E. can eliminate any local competition.

C. has greater control over its marketing strategy.

Concept testing is important because it can A. help the firm refine the promotional plans. B. lead to immediate rollout of the final product. C. help a firm avoid the costs of unnecessary product development. D. reduce the potential loss of sales during the decline stage. E. increase product development costs.

C. help a firm avoid the costs of unnecessary product development.

Zan wants to collect considerable information about the current opinions of his 10 most important customers. Zan will probably use the __________ research method. A. social media monitoring B. experimental C. in-depth interview D. primary data mining E. observation

C. in-depth interview

Using __________, researchers ask questions, listen to and record responses, and ask additional questions based on initial responses. A. questionnaires B. experiments C. in-depth interviews D. primary data mining E. observation

C. in-depth interviews

One important purpose of a brand is to A. sell advertising space. B. minimize product line depth needed to be effective. C. increase consumer recognition and awareness of product offerings. D. reduce product packaging. E. meet government regulations.

C. increase consumer recognition and awareness of product offerings.

A major disadvantage of primary data collection is A. it can be accessed only through syndicated databases or unstructured data mines. B. it cannot be tailored to meet specific research needs. C. it takes more time to collect than secondary data and is more costly. D. it is too general to meet researcher's and manager's needs. E. it does not offer behavioral insights that can be obtained from secondary data.

C. it takes more time to collect than secondary data and is more costly.

Parents of young children have been known to drive out of their way so their kids will not see McDonald's Golden Arches and plead with their parents to stop. For McDonald's, the Golden Arches reduce marketing costs because people (including young children) A. have memorized the McDonald's menu. B. prefer yellow to other colors. C. know what the Golden Arches brand symbol means. D. recognize increases in product line depth. E. are sensitive to brand repositioning.

C. know what the Golden Arches brand symbol means.

By the time BMW got into the mini-SUV market, sales had leveled off and were even starting to decline. BMW had to target its marketing efforts toward the __________ diffusion of innovation group. A. innovator B. laggard C. late majority D. early majority E. early adopter

C. late majority

The __________ diffusion of innovation group is the last large group of consumers to adopt a new product or service. A. innovator B. laggard C. late majority D. early majority E. early adopter

C. late majority

When microwaves were new, they often cost over $300, were huge, and had numerous settings and options. Brenda and Bart waited, concerned about potential health hazards and wishing for more choices in the market. By the time they purchased a microwave, sales of microwaves had leveled off and prices had declined significantly. Brenda and Bart were part of the ___________ diffusion of innovation group. A. innovator B. laggard C. late majority D. early majority E. early adopter

C. late majority

Ron sells commercial-grade tools to building contractors. Whenever he visits his customers, he looks to see if they are using his tools for other tasks or have modified the tools for some other purpose. These customers are __________, who can provide ideas for new and improved products. A. laggards B. market testers C. lead users D. reverse engineers E. concept testers

C. lead users

In questionnaire design, a question such as "Marketing is the best part of the business program, isn't it?" A. is a question that respondents cannot easily or accurately answer. B. is a question that respondents are reluctant to answer because the information is sensitive. C. leads respondents to a particular response. D. asks two questions at once. E. is complex and something respondents may be unfamiliar with.

C. leads respondents to a particular response.

By the time BMW and Mercedes-Benz entered the mini-SUV market, there were many competitors, sales had peaked, and profits were declining. These firms entered the market during the __________ stage of the product life cycle. A. introduction B. leveling C. maturity D. growth E. decline

C. maturity

During the __________ stage of the product life cycle, sales peak and profits begin to decline as competition becomes intense. A. introduction B. leveling C. maturity D. growth E. decline

C. maturity

Paul subscribes to an Internet service that alerts him whenever other firms in his industry are quoted in the media. Paul is using this type of marketing research primarily to A. provide a link between him and his production center. B. help him understand the needs of his customers. C. monitor his competitors. D. increase profits through the sale of syndicated data. E. decide how to price his new products.

C. monitor his competitors.

Another name for a manufacturer's brand is a(n) __________ brand. A. systematic B. extended C. national D. premium E. private-label

C. national

Many home design businesses volunteer to provide their latest products for tours-of-homes fundraisers because they know their new products will benefit from A. relative advantage. B. compatibility. C. observability. D. complexity. E. trialability.

C. observability.

Mattel wanted to determine if a new toy would appeal to preschoolers, so it put six 4-year-olds in a room with several toys and waited to see which ones they played with. What form of research is this? A. experiment B. focus group C. observation D. neuromarketing E. panel

C. observation

Bianca's discount home furnishings store is in a strip mall. She wants to know what other businesses in the strip mall her customers visit when they come to her store. To collect information for this objective, Bianca will most likely use A. door-to-door surveys. B. focus group interviews. C. observation. D. sales invoices. E. census data.

C. observation.

For new product marketers, early adopters are important because they tend to be A. few in number. B. the first to adopt a new product. C. opinion leaders. D. fond of prototypes. E. alpha testing enthusiasts.

C. opinion leaders.

The Eiger Labs MPMan was the first mass-produced MP3 player sold in the United States. Eiger Labs was a(n) __________ in the MP3 player market. A. blockbuster B. early adopter C. pioneer D. market tester E. concept tester

C. pioneer

One of the disadvantages of secondary research is ______, while one of the disadvantages of primary research is often ________. A. cost; outdated information B. time required for collection; sources not original C. potential bias; cost D. outdated information; information not relevant to data needs E. sophisticated training required to obtain it; potential bias

C. potential bias; cost

The diffusion of innovation theory is useful to marketers in helping them A. adjust to the performance life cycle. B. avoid the cost of concept testing. C. predict which types of customers will buy their product immediately and later. D. predict how long it will take for a new product to gain market acceptance. E. determine a target market.

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

A __________ package is the one a consumer uses. A __________ package is used by retailers to display and sell the product. A. secondary; primary B. generic; private-label C. primary; secondary D. corporate; manufacturer's E. co-branded; licensed

C. primary; secondary

Zappos is a successful online shoe company. One of the difficulties in running a shoe company is the need to have significant __________, a large number of items in each product line. A. brand equity B. product line breadth C. product line depth D. product mix depth E. product mix breadth

C. product line depth

The complete set of all products offered by a firm is called its A. product line. B. product categories. C. product mix. D. product breadth. E. product line depth.

C. product mix.

Firms spend millions of dollars annually to build brand equity, recognizing that brand equity contributes to A. product mix breadth. B. corporate stakeholder relations. C. profitability. D. brand liability. E. perceived brand personality.

C. profitability.

Before the development of computer-assisted design software, many firms handcrafted __________, wooden or clay models that served as rough physical representations of a new product. A. premarket tests B. blockbusters C. prototypes D. storyboards E. designer models

C. prototypes

Another name for brand repositioning is A. strategic brand alteration. B. change management. C. rebranding. D. perception tracking. E. brand scaling.

C. rebranding.

Company sales invoices, census data, and trade association statistics are examples of A. primary data. B. data mines. C. secondary data. D. tertiary data. E. qualitative data.

C. secondary data.

McDonald's introduced a Favorites Under 400 Calorie Menu as part of an attempt to reverse the perception that McDonald's sells only unhealthy food. Suppose that McDonald's, as a follow-up, collects and analyzes social media posts from Facebook, Twitter, and similar sites, hoping to understand whether or not consumer perceptions are improving. This would be an example of A. quantitative research. B. an online focus group. C. sentiment mining. D. neuromarketing. E. an experiment.

C. sentiment mining.

Kendra is taking a backpacking trip across Europe. She wants to make sure that the backpack she chooses is the best one for her adventure, so she is spending a considerable amount of time comparing alternatives to make sure she selects the best one. For Kendra, this backpack represents what type of product? A. convenience B. unsought C. shopping D. luxury E. routine

C. shopping

Jaleel is the marketing manager for a moderately well-known rock band. He wants to know more about industry trends including sales by different musical styles, online downloads, and concert attendance. Jaleel will most likely use __________ to gather this type of data. A. focus groups B. observation C. syndicated data D. sales invoices E. census data

C. syndicated data

A marketing professor in Ithaca, New York, maintains a museum of failed consumer products. Most new products in this museum failed during the __________ stage of new product development, when they are introduced to a limited geographic area. A. pretesting B. product launch C. test marketing D. product development E. concept testing

C. test marketing

When McDonald's comes up with a new drink or sandwich for its restaurants, it often markets it in a dozen or so of its outlets. When the company does this, it is engaged in A. pretesting. B. product launch. C. test marketing. D. product development. E. concept testing.

C. test marketing.

When consumers are __________, observation becomes particularly useful in understanding consumers' preferences. A. unwilling to participate in research B. confused by questionnaires C. unable to articulate their experiences D. interviewed too frequently E. highly educated

C. unable to articulate their experiences

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 A. indefinitely. B. until it rules the world. C. until a superior product comes along to replace it. D. unless Microsoft repositions Windows as an introductory stage product. E. as long as the company doesn't change it.

C. until a superior product comes along to replace it.

When testing new products, most firms consider the question of whether testing products on animals A. should always be done in the animal's natural environment. B. should be done outside the United States to avoid consumer backlash. C. should be done when the new product does not contribute to the health and well-being of human users D. should be done only by companies large enough to be ethically responsible. E. should be done with animal activists present.

C. should be done when the new product does not contribute to the health and well-being of human users

A typical focus group has ________ members. A. 2-4 B. 4-6 C. 6-8 D. 8-12 E. 12-15

D. 8-12

A personal digital assistant programmed with key customers' birthdates, wine preferences, and food allergies is a(n) __________ tool. A. SKU B. PDQ C. IMF D. CRM E. GATT

D. CRM

One of the major tools used by marketers to meet the needs of loyal customers is A. SKU. B. PDQ. C. IMF. D. CRM. E. GATT.

D. CRM.

Which U.S. government agency has the primary responsibility in reviewing food and package labels to ensure claims made by the manufacturer about the product are true? A. Federal Trade Commission B. Federal Communications Commission C. Consumer Product Safety Administration D. Food and Drug Administration E. Interstate Commerce Commission

D. Food and Drug Administration

Mary's Bakery is trying to determine what price to charge for its cookies, so Mary places a low price on them and raises it each week, keeping track of how many she sells. Then she determines what her cost was for the cookies and determines which price was the most profitable. What form of research was Mary conducting? A. observation B. survey C. scanner-based D. an experiment E. a panel

D. an experiment

In questionnaire design, a question such as "Do you like Wendy's hamburgers and fries?" A. is a question that respondents cannot easily or accurately answer. B. is a question that respondents are reluctant to answer because the information is sensitive. C. steers respondents to a particular response. D. asks two questions at once. E. is complex and something respondents may be unfamiliar with.

D. asks two questions at once.

In the case of Band-Aid adhesive bandages, the brand name has A. successfully employed private-label branding. B. distinctive brand substitutability. C. grown through private-label branding. D. become synonymous with the product itself. E. avoided brand extensions.

D. become synonymous with the product itself.

Which of the following is not one of the four criteria used for determining how "good" a brand is, or how much equity it has? A. brand awareness B. brand loyalty C. brand associations D. brand conceptualization E. perceived value

D. brand conceptualization

Efforts to change a brand's focus to target new markets or change the image of a brand are called A. co-branding. B. brand extraction. C. brand collusion. D. brand repositioning. E. brand dilution.

D. brand repositioning.

Brand dilution occurs when A. customers see the "fit" between products sharing the same brand name. B. there are too few products and product categories. C. new brands compete with existing brands. D. brands are overextended and customer perceptions about the core brand are adversely affected. E. brand names seem too old-fashioned or familiar.

D. brands are overextended and customer perceptions about the core brand are adversely affected.

The owner of A. C. Flora Ford Dealership wanted to know why consumers chose his company to purchase a car. He was fairly sure that most customers had one of three reasons—service, reputation, or location—but wanted to know which was revealed as the most frequent reason for purchasing. A. C. Flora will probably use a survey with __________ questions to address his research problem. A. observation-based B. open-ended C. experimental D. closed-ended E. unstructured

D. closed-ended

One of the categories of products for which brand extension is especially logical is A. generic goods. B. generic services. C. commodities. D. complementary goods. E. licensed brands.

D. complementary goods.

By adding new product lines beyond its core business of computer software, like the Surface Pro tablet and Xbox 360 game system, Microsoft primarily benefits by A. keeping up in a market where sales come mostly from new products. B. satisfying the changing needs of the technological research staff. C. avoiding market saturation from products that have just been introduced to the market. D. creating diversification and reducing risk. E. spreading out production costs.

D. creating diversification and reducing risk.

Through analysis of sales data, Price-Cutters retail store found that customers who bought peanut butter also tended to buy bananas. Price-Cutters was engaged in A. syndicated surveying. B. focus group analysis. C. behavioral analysis. D. data mining. E. structured sampling.

D. data mining.

In the United States, most consumer packaged goods found in grocery and discount stores are in the __________ stage of the product life cycle. A. growth B. pioneer C. introduction D. decline E. maturity

D. decline

As soon as she saw one, Hillary wanted a flat-screen television, but she was worried about making the wrong choice. She waited until there were alternatives in the market with lower prices and improved quality. Hillary is part of the __________ diffusion of innovation group. A. innovator B. laggard C. late majority D. early majority E. early adopter

D. early majority

The __________ diffusion of innovation group is crucial because few new products can be profitable until this large group buys them. A. innovator B. laggard C. late majority D. early majority E. early adopter

D. early majority

Brand __________ is the set of assets and liabilities linked to a brand that add to or subtract from the value provided by the product or service. A. positioning B. licensing C. association D. equity E. solvency

D. equity

Successful first movers create a market or a product category. They often benefit from being readily recognizable to consumers and A. not having to pay advertising expenses. B. using prototypes to dominate the market. C. not needing to do test marketing. D. establishing an early market share lead. E. motivating laggards to buy their products.

D. establishing an early market share lead.

When consumers associate a brand with a certain level of quality and familiar attributes, allowing consumers to make quick decisions, the brand A. establishes novelty. B. is the only one the consumer will consider. C. reduces delivery costs. D. facilitates purchasing. E. creates brand dilution.

D. facilitates purchasing.

Charles wants to survey recent customers about the quality of service they received at his small auto service dealership. He has customers' mailing and e-mail addresses. Charles will likely use an online survey primarily because it offers A. relatively low response rates. B. the ability to share video with respondents. C. the ability to ask sensitive questions with anonymity. D. fast responses at a lower cost. E. the opportunity to survey both existing and potential customers.

D. fast responses at a lower cost.

Which type of interview contains a small group of participants and a trained moderator that guides the conversation? A. panel B. syndicated C. observational D. focus group E. sentiment

D. focus group

Which of the following is least likely to be a source of ideas for new products? A. R&D efforts B. licensing agreements C. consumer research D. geodemographic segmentation E. brainstorming

D. geodemographic segmentation

During the __________ stage of the product life cycle, sales rise, profits rise rapidly, and there are a small but increasing number of competitors. A. introduction B. leveling C. maturity D. growth E. decline

D. growth

When Toyota introduced hybrid cars, there were waiting lists to buy them. Then Honda and a few other manufacturers entered the market, shifting the product life cycle for hybrid cars into the __________ stage of the product life cycle. A. introduction B. leveling C. maturity D. growth E. decline

D. growth

Innovators are a critical group of new product adopters because they A. are the major source of innovation. B. act as reverse engineering consultants. C. help with test marketing. D. help the product gain market acceptance. E. extend the product life cycle.

D. help the product gain market acceptance.

68. When the detailed opinions of a few industry experts or experienced consumers are needed, __________ is(are) often the best qualitative research method. A. observation B. surveys C. social media studies D. in-depth interviews E. secondary data mining studies

D. in-depth interviews

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

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

Eric is a sales rep for an established building materials manufacturer. Business is good, but he is concerned that the company has spent little on new product development and has not created a new product in over five years. Without new products, Eric can market his current products only to his current customers or A. diversify. B. intensify his prototyping. C. expand his early adopter market segment. D. market the same products to similar customers. E. focus on concept testing.

D. market the same products to similar customers.

Cathy has used Olay beauty products for years, even though there are many competitors on the market. She plans to purchase a recently introduced micro-sculpting cream from Olay's Regenerist line. Olay is in the _________ stage of the product life cycle. A. introduction B. growth C. evaluation D. maturity E. decline

D. maturity

Where on a product's packaging would one most likely find nutrient content and country of origin? A. inside the secondary package B. inside the primary package C. on the company website D. on the label E. on the store shelf display

D. on the label

Firms that use the same brand name for new products can spend relatively less on marketing costs for the new product because A. brands protect corporate copyrights. B. consumer loyalty can be bought for less now compared to the past. C. brand equity can be obtained only by means of product line depth. D. people already know what the brand means. E. well-known brands are less likely to introduce brand extensions.

D. people already know what the brand means.

From charitable giving to medical records to Internet tracking, consumers are more anxious than ever about A. secondary data retrieval systems. B. exploitation by foreign marketers. C. their ability to get credit cards. D. preservation of their right to privacy. E. the unstructured nature of marketing research.

D. preservation of their right to privacy.

For a major university, undergraduate studies, graduate studies, and professional programs would be __________ within the university's product mix. A. brand associations B. family brands C. co-brands D. product lines E. private-label brands

D. product lines

Social media monitoring, in-depth interviews, and focus groups are all __________ research methods. A. quantitative B. data warehousing C. syndicated marketing D. qualitative E. structured

D. qualitative

Recently, the number of students enrolled in the marketing program dropped while enrollment in the psychology program increased. The chair of the marketing department will probably use __________ as a first step to gain a better understanding of why enrollments are changing. A. experimental research B. data warehousing C. syndicated data D. qualitative research E. structured questionnaires

D. qualitative research

The purpose of __________ is that it confirms insights and provides a basis for taking a course of action. A. primary data collection B. data mining C. qualitative research D. quantitative research E. statistical sourcing

D. quantitative research

After defining objectives and research needs, the next step in the marketing research process involves A. research evaluation. B. data collection. C. data analysis. D. research design. E. report writing.

D. research design.

Brands that are owned by ___________ are called private-label brands. A. manufacturers B. wholesalers C. supply chain specialists D. retailers E. manufacturer's reps

D. retailers

When Dr. Putt invented his Eye-Over-the-Ball (EOB) golf putting device, he knew during the introductory stage A. sales would rise quickly, profits would jump, and even laggards would buy his product. B. sales would level off, profits would decline, and mature golfers would be attracted to his product. C. sales would slow down, profits would peak, and early adopters of golf equipment would be his major customers. D. sales would be low and profits nonexistent, but he would attract golf equipment innovators. E. sales would be low, profits would be high, and all potential golfers would jump at the opportunity to buy his product.

D. sales would be low and profits nonexistent, but he would attract golf equipment innovators.

When Meg planned her trip to Australia, she spent months evaluating packages, airfares, and hotel accommodations. Meg's trip is an example of a(n) ________ product. A. specialty B. convenience C. unsought D. shopping E. sought

D. shopping

Firms that are engaged in sentiment mining are analyzing data collected from A. experiments. B. in-depth interviews. C. focus groups. D. social media sites. E. observations.

D. social media sites.

Andy likes gourmet popcorn and will spend time trying to find his favorite brand. His girlfriend, Joanne, loves popcorn but doesn't care about brands. For Andy, popcorn is a(n) __________ good while for Joanne it is a(n) __________ good. A. shopping; specialty B. convenience; shopping C. convenience; specialty D. specialty; convenience E. unique; universal

D. specialty; convenience

According to your text, _______ packaging is product packaging that is ecologically responsible. A. recycled B. environmental C. responsible D. sustainable E. green

D. sustainable

Commercial research firms like Nielsen and J. D. Power and Associates are sources of A. primary data. B. internal secondary data. C. data mining. D. syndicated data. E. public data.

D. syndicated data.

The diffusion of innovation theory focuses on A. the geographic boundaries of innovation. B. the relationship between pioneer brands and imitators. C. the psychological traits of innovators. D. the rate at which consumers are likely to adopt a new product or service. E. the way a product moves through the product life cycle.

D. the rate at which consumers are likely to adopt a new product or service.

Just as marketers create value by meeting the needs and wants of consumers, marketing researchers create value if A. the research is expensive. B. all participants like the research design. C. the research does not cost too much. D. the results will be used in making management decisions. E. the research is finished quickly.

D. the results will be used in making management decisions.

At the end of a brainstorming session, participants are often asked to A. identify the worst ideas. B. defer to management for the final decision. C. identify which ideas each person proposed. D. vote on the best ideas. E. propose one more new idea each.

D. vote on the best ideas.

In what country have regulators demanded that Facebook stop collecting biometric data on its users? A. the United States B. Russia C. China D. Germany E. Mexico

D. Germany

Which of the following is an example of an unstructured question? A. "Would you buy this product (Yes/No)?" B. "Would you buy this product (A. definitely, B. maybe, C. definitely not)?" C. "What would convince you to buy this product (A. lower price, B. larger packaging, C. better taste)?" D. "Please rate the attributes of this product that are important to you (rate 1-5, with 1 being most important and 5 being least important). E. "Why did you buy this product?"

E. "Why did you buy this product?"

__________ occurs when the brand extension adversely affects consumer perceptions about the attributes the core brand is believed to hold. A. Corporate branding B. Brand extraction C. Brand collusion D. Brand personality destruction E. Brand dilution

E. Brand dilution

_______ can be defined as raw numbers or other factual information that, on their own, have limited value to marketers. A. Statistics B. Charts and graphs C. Marketing research D. Formulas E. Data

E. Data

__________ research is a type of quantitative research that manipulates variables to help determine cause and effect. A. Descriptive B. Syndicated C. Manipulative D. Focus group E. Experimental

E. Experimental

The growth phase of the product life cycle is always dynamic. Which of the following does not occur in this phase? A. Profits increase as sales increase. B. Profits increase as economies of scale are attained. C. Some new competitors may enter the market with similar products. D. Some competitors will exit in an "industry shakeout." E. Price competition with protracted price wars erodes profits.

E. Price competition with protracted price wars erodes profits.

Which of the following is not one of the guidelines for developing a marketing research questionnaire? A. The layout should be professional and easy to follow. B. Questions should address only one issue at a time. C. Questions should be sequenced appropriately. D. Questions should use vocabulary respondents are familiar with. E. Sensitive questions should be asked first.

E. Sensitive questions should be asked first.

Which of the following scenarios is not a reason a firm would eliminate an item within a product line? A. The firm decided to refocus marketing efforts elsewhere. B. The firm must respond to evolving markets. C. The product undermined its own brand. D. The product being eliminated is unprofitable. E. The firm has decided to capture new markets.

E. The firm has decided to capture new markets.

Caroline needs to find information about income and age distribution in Orange County, California. The best source of secondary research of use to Caroline is likely to be A. door-to-door surveys. B. focus group interviews. C. syndicated data. D. sales invoices at public libraries. E. U.S. Census data.

E. U.S. Census data.

The Doritos advertising effort of "Live Mas," which is Spanish for "Live More," is meant to suggest a lifestyle aspiration. If consumers make a connection between the Doritos brand and this promotional effort, then Doritos has created A. brand ownership. B. a brand extension. C. brand loyalty. D. brand dilution. E. a brand association.

E. a brand association.

Which of the following data sources would not be considered external secondary data? A. U.S. Census data B. syndicated data C. newspaper articles D. scanner data E. a survey

E. a survey

Quincy had no idea how consumers would respond to a survey about attitudes toward a program opening up space travel to private citizens. He could use __________ to allow respondents to answer in their own words. A. secondary data B. an observational study C. an experiment D. a structured questionnaire E. a survey with open-ended questions

E. a survey with open-ended questions

Golf ball manufacturers use "Iron Mike," a machine that swings a golf club at a constant velocity, to test the distance for new golf ball designs. When using Iron Mike, the manufacturers are engaged in A. concept testing. B. market testing. C. premarket testing. D. product development. E. alpha testing.

E. alpha testing.

A product is __________ that can be offered through a voluntary marketing exchange. A. the combination of a firm's marketing mix B. the brand associations C. the category depth D. a tangible item E. anything of value to consumers

E. anything of value to consumers

Suppose that you work for an advertising agency and are brought into a meeting where everyone is asked to generate ideas for names for a new beach resort. You are engaged in __________, a form of new idea generation. A. R&D B. licensing technology C. consumer research D. geodemographic analysis E. brainstorming

E. brainstorming

Jenna always buys Stacy's brand pita chips. She does not even consider alternatives. Jenna is a __________ customer. A. price-sensitive B. brand-persuasion-oriented C. brand-association-oriented D. brand-extension-oriented E. brand-loyal

E. brand-loyal

During the ___________ stage of the product life cycle, firms either position themselves for a niche market of loyal consumers or they exit the market. A. introduction B. leveling C. maturity D. growth E. decline

E. decline

Paul listens to music on his iPod and iPhone, but he still buys vinyl records at his local music store on occasion, although they are getting harder to find. Vinyl records are in the __________ stage of the product life cycle. A. introduction B. growth C. evaluation D. maturity E. decline

E. decline

As it pertains to the diffusion of innovation, if the __________ group is relatively small, the number of people who ultimately adopt the innovation likely will also be small. A. innovator B. laggard C. late majority D. early majority E. early adopter

E. early adopter

Robin recently bought Voice over Internet Protocol (VoIP) phone service. A few of Robin's friends bought VoIP before she did, but many other friends were interested in Robin's opinions of the new phone service. Robin is a(n) __________ in this product category. A. innovator B. laggard C. late majority adopter D. early majority adopter E. early adopter

E. early adopter

The potential benefits of brand extension do not include A. allowing the perception of a brand with a quality image to be carried over to the new product. B. lowering marketing costs. C. boosting sales of the core brand. D. spending less on creating brand awareness and associations. E. eliminating competition.

E. eliminating competition.

Which of the following is not a reason listed in your text for the high failure rate of new products? A. failing to assess the market properly B. neglecting to do appropriate product testing C. targeting the wrong segment D. overextending a firm's abilities E. failing to introduce lower-priced alternatives

E. failing to introduce lower-priced alternatives

Which of the following research methods would be best in helping a marketer understand how people feel about a product or service on an individual, detailed level? A. focus groups B. surveys C. social media monitoring D. primary data mining E. in-depth interviews

E. in-depth interviews

A __________ brand is one where there is a contractual arrangement between firms allowing one to use its brand name for a fee. A. franchise B. joint venture C. shared D. common use E. licensed

E. licensed

Frequent buyer/user award programs are used to A. increase price sensitivity. B. decrease co-branding costs. C. lower licensing fees. D. expand product line depth. E. maintain contact with loyal customers.

E. maintain contact with loyal customers.

Each time you go to the grocery store and have your purchases scanned while using a loyalty or bonus reward card, you are contributing to a database that can help marketers determine all of the following except A. what a typical shopping list looks like. B. whether changes in prices affect buying. C. marketplace trends. D. what kinds of promotions might be attractive to you. E. other stores where you buy similar products.

E. other stores where you buy similar products.

In the product development process, what takes place between concept testing and market testing? A. securing financial backing B. conducting marketing research C. brainstorming D. determining potential ROI E. performing product development

E. performing product development

Private-label brands are developed and managed by A. manufacturers. B. wholesalers. C. supply chain specialists. D. manufacturer's representatives. E. retailers.

E. retailers.

Which of the following would not be part of the launch of a new product? A. determining the marketing budget for the first year of the product B. finalizing the marketing mix variables C. reviewing previously conducted research D. making decisions regarding positioning the product E. starting to make preliminary decisions about the target market

E. starting to make preliminary decisions about the target market

J. D. Power and Associates, the National Purchase Diary Panel, and Nielsen are examples of companies that provide A. internal secondary data. B. primary data. C. online survey software. D. website analytics. E. syndicated data.

E. syndicated data.

A major limitation in the use of internal R&D departments for new idea generation is A. the natural conflict R&D has with adhering to the firm's mission. B. that R&D departments tend to be dissolved once sufficient ideas have been generated. C. that the bureaucracy associated with R&D departments limits the generation of ideas. D. that R&D scientists develop ideas that are impractical to produce. E. the costs associated with an internal R&D department tend to be quite high.

E. the costs associated with an internal R&D department tend to be quite high.

Salina is working to create greater brand awareness for her company's new line of personal digital assistants. To increase brand awareness, the least important information that should be included in promotions is A. the brand name. B. the logo. C. the packaging. D. the slogan. E. the product history.

E. the product history.

During the research design step of the marketing research process, researchers identify the type of data needed and A. the statistical software to be used. B. the dates when data will be collected. C. the forum in which the data will be presented. D. the identities of research participants in the project. E. the type of research necessary to collect the data.

E. the type of research necessary to collect the data.

As a promotion technique, samples are often used for new products when __________ will influence the diffusion of the product. A. relative advantage B. compatibility C. observability D. complexity E. trialability

E. trialability

Zappos.com, an online shoe store, offers an easy, no-hassle return procedure. This relates to the _______ of its products. A. relative advantage B. compatibility C. observability D. complexity E. trialability

E. trialability

Which of the following is not true regarding secondary packaging? A. It can provide information to consumers not found on the primary packaging. B. It is important to the retailer in terms of convenience in handling. C. It can be an important positioning tool to convey the brand image. D. It can allow for cost efficiencies due to larger order and shipment sizes. E. it is of little value to the average consumer

E. it is of little value to the average consumer

Panel data are always secondary data.

FALSE, Panel data are information collected from a group of consumers over time. The data collected from the panelists may be a record of their purchases (secondary data) or responses to a survey that the client has hired the firm to conduct (primary data).

Political consultants have been using marketing research for decades to help their candidates understand A. who makes up the voting public and how to reach them. B. what ethical lapses they can get away with. C. which consumers spend the most money. D. how large their campaign signs should be. E. how to buy the votes they need.

a. who makes up the voting public and how to reach them

Marketing research includes all of the following except A. collecting data. B. creating data. C. recording data. D. interpreting data. E. analyzing data.

b. creating data

A company's product line consists of its various product mixes.

false

A customized carved cedar wood sign for your house is an example of a convenience product.

false

A decrease in a company's product depth will always hurt its marketing efforts.

false

A familiar brand name always helps the sales of a product.

false

A product label is just a required sticker on a package.

false

Although innovation strategies may not work in the long run, overriding short-term reasons compel firms to introduce new products and services

false

Brand equity is calculated by subtracting sales of generic brands from the sales of branded items in a category.

false

Briena is looking at the results of a syndicated study conducted two years ago. Briena is looking at primary data.

false

Data that have been collected prior to the start of the current research project are considered primary data.

false

For a company like PepsiCo, brand dilution occurs when it sells more product than the competition.

false

For the average college student, a retirement account would be a shopping product.

false

In entertainment licensing, the major risk to licensees is that the brand will become overexposed.

false

In the United States, the federal government has enacted comprehensive privacy laws for the Internet.

false

Marketing research should be used only to produce favorable recommendations for senior management to consider.

false

On the diffusion of innovation curve, the first group of buyers who want to be the first on the block to have the new product are known as early adopters.

false

On the diffusion of innovation curve, the late majority is the final group of buyers who like to avoid change and rely on traditional products until they are no longer available.

false

One of the key characteristics of brainstorming sessions is that bad ideas should be immediately rejected so the group can focus its attention on good ideas.

false

Private-label brands are imitations often sold by street vendors.

false

Quentin is in a group of 8 to 12 people and is being asked questions by a trained moderator. Quentin is part of an in-depth interview group.

false

Sales of private-label brands continue to decline in the United States, particularly in big-box stores such as Costco.

false

Test marketing refers to customers who modify existing products according to their own ideas to suit their specific needs.

false

The diffusion of innovation curve follows the following sequence: innovators, early majority, early adopters, late majority, and laggards.

false

The more familiar customers are with a brand, the harder their decision-making process will be.

false

The terms external secondary data and syndicated data mean the same thing.

false

When Glenn asked a few of his regular customers to test his prototype surfboard, he was engaging in alpha testing.

false

When survey data are analyzed in depth to determine consumer attitudes toward a product, this is an example of sentiment mining.

false; analyze social media

If Microsoft decided to sell mobile phones under the Xbox brand (which it uses for its gaming systems), this would be an example of a line extension.

false; brand ex

The maturity phase of the product life cycle is characterized by greatly reduced competition.

false; competition intensifies

As personal computers became popular, the sale of typewriters decreased significantly and now typewriters are only used by a very small segment of consumers. Typewriters are in the maturity stage of the product life cycle.

false; decline

Kellogg's sells many different breakfast cereals, including Corn Flakes, Rice Krispies, Frosted Flakes, Raisin Bran, and Special K. This is an example of the breadth of the Kellogg's product mix.

false; depth

The marketing research process follows five steps, and to be effective they must be followed in order without omitting any steps.

false; may go back and forth

Warren is conducting a marketing research project. He is not sure what questions to ask or what types of consumers he should talk to. Therefore, Warren should begin by conducting quantitative research.

false; qualitative

A disadvantage to using secondary data is that it might not be precisely relevant to the information needed.

true

A major advantage of primary data collection is that it can be tailored to fit the pertinent research needs.

true

A product is anything that is of value to a consumer and can be offered through a voluntary exchange.

true

Before conducting marketing research, it is important to establish in advance exactly what problem needs to be solved.

true

Brands are assets that can be legally protected through trademarks.

true

Brands enable customers to quickly differentiate one firm or product from another.

true

Claire always liked Lands' End raincoats, so when she was shopping for a winter coat, she ordered one from Lands' End without thinking too much about it. This demonstrates how brands facilitate purchases.

true

Companies are legally required to disclose their privacy practices to customers on an annual basis.

true

Donald is analyzing and interpreting data. In the process, he is converting data into information.

true

Effective packaging and labels send consumers the signal "Buy me."

true

Even if products succeed, not all consumers adopt new-to-the-world products at the same time.

true

Fashion trends tend to experience short product life cycles.

true

Fingerprints are an example of biometric data

true

Harold is a loyal Coca-Cola customer. Loyal customers like Harold require lower marketing expenditures, benefiting businesses like Coca-Cola.

true

In the marketing research process, data collection happens after research design.

true

Jenny traded in her old car for her heart's desire, a new Lexus sedan. The Lexus is considered a specialty product.

true

Manufacturers, wholesalers, and retailers can all own brands.

true

New product development adds value to a firm's products and services through innovation.

true

New-to-the-world products that create new markets can add tremendous value to firms.

true

Nike sells shoes, clothing, and athletic gear. These represent the breadth of Nike's products.

true

One of the benefits of marketing research is it reduces the uncertainty under which managers make decisions.

true

The fact that the Apple iPad is easy to try—demo units are available at Apple stores as well as other retail stores—is helping it diffuse more quickly.

true

The failure rate for new products is high.

true

The introduction stage of the product life cycle is characterized by negative or low profits.

true

The most challenging part of applying the product life cycle concept is that managers do not know exactly what shape each product's life cycle will take.

true

To determine if a new product is commercially viable, a firm can conduct premarket testing.

true

Using wireless EEG scanners to measure involuntary brain waves that occur when a consumer views a product is called neuromarketing.

true

When Jaclyn selects a case of Sprite at the grocery store for her party, she is attracted by the holiday-themed box featuring green and white bells. What Jaclyn is seeing is referred to as the secondary package.

true

When companies store information on customers' purchase histories in large computer files, this is known as data warehousing.

true

When consumers see their friends using an innovation, it often persuades them to try it too.

true

When purchasing a mobile phone, the product you are buying is more than just the phone.

true

When the iPad Mini came out, Sasha spent the night in front of the store so she could get one before any of her friends. According to the diffusion of innovation, Sasha is an innovator.

true