Question 1

The various products carried by a retailer can also have dimensions of width and depth. For example, Dick's Sporting Goods carries sports clothes, shoes, exercise equipment, hunting and fishing equipment, camping supplies, and other products. Bass Pro Shops carries fishing equipment, but has a larger selection of different models and brands. In this case, the product mix of Dick's Sporting Goods is ___, and the product mix of Bass Pro Shops is ____.
A) deep; wide
B) wide and deep; wide and shallow
C) deep and wide; deep and wide
D) wide; deep
E) wide; long

Accepted Answer

The answer of The various products carried by a retailer...

Question 2

Which stage in the product life cycle is critical to a product's survival because competitive reactions to the product's success during this period will affect the product's life expectancy?
A) Decline
B) Expansion
C) Growth
D) Introduction
E) Stabilization

Accepted Answer

During the growth stage, a product experiences increasing demand and sales. This can attract competitors, who may try to imitate or improve upon the product. How well a product performs during this stage can have a significant impact on its future success and lifespan. Therefore, the growth stage is critical to a product's survival because it can determine how competitors react and cope with the product's success.

Question 3

Marissa, a product manager, thinks her company's InstaCup coffee maker is currently in the growth stage of the product life cycle. If so, the profits for the InstaCup coffee maker ___ and the number of competitors ____.
A) are negative; is growing
B) have peaked; is growing
C) are declining; is growing
D) have peaked; is declining
E) are declining; is declining

Accepted Answer

In the growth stage of the product life cycle, profits typically peak due to increased sales, and the number of competitors grows as other companies enter the market to capitalize on the high demand.

Question 4

During the maturity stage
A) product modifications are unnecessary.
B) there is less emphasis on changing a product's price.
C) marketing strategies are rarely altered.
D) some competitors are forced out.
E) limited advertising expenditures are required to maintain market share.

Accepted Answer

During the maturity stage, some competitors are forced out as the market becomes saturated and only the strongest players can survive. Product modifications, price changes, and marketing strategy alterations may still be necessary to maintain market share and stay ahead of competitors. Limited advertising expenditures may still be required to maintain brand visibility and preference.

Question 5

Aggressive pricing is typical during the ____ stage of the product life cycle.
A) decline
B) growth
C) introduction
D) plateau
E) stabilization

Accepted Answer

During the growth stage of the product life cycle, companies usually try to increase market share and revenue. Aggressive pricing is used to achieve these goals by lowering prices to attract more customers and increase sales. As sales increase, economies of scale also improve, reducing costs, and allowing for even more aggressive pricing strategies.

Question 6

In which stage of the product life cycle do profits begin to decrease?
A) Introduction
B) Growth
C) Maturity
D) Decline
E) Recovery

Accepted Answer

The answer of In which stage of the product life...

Question 7

The width of a product mix is measured by the number of product
A) dimensions in the product line.
B) features in each brand.
C) items in the product line.
D) lines a company offers.
E) specialties a company offers.

Accepted Answer

The width of a product mix refers to the number of different product lines a company offers. For example, a company might have a wide product mix if it sells clothing, electronics, and food products, indicating a diverse range of product lines.

Question 8

When a business finds itself squeezed out of a market for a product or loses interest in that product, it is a sign of being in the ____ stage of the product life cycle.
A) maturity
B) growth
C) introduction
D) market reduction
E) decline

Accepted Answer

The answer of When a business finds itself squeezed out...

Question 9

When a product experiences an increase in the number of competitors, it is usually in the _____ stage of the product life cycle; however, when that competition becomes intense, it is in the ____ stage.
A) introduction; maturity
B) introduction; growth
C) growth; decline
D) growth; maturity
E) maturity; decline

Accepted Answer

When a product experiences an increase in the number of competitors, it is usually in the growth stage of the product life cycle as the demand for the product is increasing. However, when that competition becomes intense, it is in the maturity stage as the market becomes saturated with similar products and sales growth slows down.

Question 10

One company markets such diverse products as Rosarita Mexican foods, Max Factor cosmetics, and Samsonite luggage. These various offerings exhibit this firm's product mix
A) width.
B) depth.
C) length.
D) volume.
E) dimension.

Accepted Answer

The product mix refers to the entire range of products that a company offers, and the width of the product mix refers to the number of different product lines that the company carries. In this case, since the company is marketing such diverse products as Mexican foods, cosmetics, and luggage, they have a wide product mix, making A the correct choice.

Question 11

An ad that stresses "Get the real Proactiv Solution; accept no substitutes!" is best geared for which stage of the product life cycle?
A) Introduction
B) Growth
C) Stabilization
D) Expansion
E) Decline

Accepted Answer

The answer of An ad that stresses "Get the real...

Question 12

Achieving greater penetration of the market is typically a business goal during the ____ stage of the product life cycle.
A) maturity
B) growth
C) introduction
D) market testing
E) decline

Accepted Answer

During the growth stage of the product life cycle, the focus is on expanding market share and achieving greater penetration of the market. This is because the product has gained acceptance and its popularity is increasing, leading to more demand from customers. Therefore, businesses aim to build brand awareness, increase distribution and promotion efforts and introduce new features or variations to sustain growth.

Question 13

Which of the following tactics would typically be employed when a product is in the growth stage of its life cycle?
A) Lowering prices after developmental costs have been recovered
B) Raising promotion expenditures as a percentage of total sales
C) Moving from intensive to selective distribution
D) Raising prices to encourage competitors to enter the market
E) Reducing the number of product models in the product line

Accepted Answer

The answer of Which of the following tactics would typically...

Question 14

During the introduction stage of a successful product, profits are usually
A) at their highest point.
B) negative and decreasing.
C) negative and increasing
D) positive and increasing.
E) declining.

Accepted Answer

During the introduction stage of a successful product, profits are usually negative due to high initial costs for product development, marketing, and distribution. However, as sales begin to grow, losses start to decrease, indicating that profits are negative but increasing.

Question 15

The four major stages of a product life cycle include
A) prosperity, recession, depression, and recovery.
B) specialty, convenience, shopping, and unsought goods.
C) decline, stabilization, exposure, and growth.
D) introduction, growth, maturity, and decline.
E) awareness, interest, trial, and adoption.

Accepted Answer

The four major stages of a product life cycle are introduction, growth, maturity, and decline. Option A is incorrect because the given stages are related to the business cycle, not the product life cycle. Option B refers to different types of products, not stages. Option C has no basis in product life cycle theory. Option E describes the stages of the adoption process, not the product life cycle.

Question 16

During the growth stage of the product life cycle, marketers must
A) fortify the product position.
B) move to exclusive distribution.
C) raise the price.
D) increase promotion as a percentage of sales.
E) introduce private brands.

Accepted Answer

During the growth stage, the focus should be on fortifying the product position by increasing brand awareness and improving distribution channels. This will help to sustain the product's growth and fend off competitors. Moving to exclusive distribution or introducing private brands are strategies that may be implemented during the introduction stage to gain market share, but are not necessary during the growth stage. Raising the price may lead to decreased demand and reduced sales, and increasing promotion as a percentage of sales may not be sustainable in the long term.

Question 17

Heinz promoting its vinegar as an effective cleaner for wall, glass, kitchen, and bathroom surfaces would most likely be a strategy for the ____ stage of the product life cycle.
A) introduction
B) decline
C) growth
D) maturity
E) competitive

Accepted Answer

Promoting vinegar as a cleaner for various surfaces suggests that the product has already gained widespread acceptance, which is most likely to occur during the maturity stage of the product life cycle. At this stage, the focus is on defending market share by emphasizing the product's usefulness, as well as expanding its distribution and promoting its features and benefits.

Question 18

Grand Resorts Hawaii has just celebrated its first profit since opening two years ago. Grand Resorts Hawaii is most likely in the ____ stage of the product life cycle.
A) Maturity
B) Growth
C) Introduction
D) Market testing
E) Stability

Accepted Answer

The fact that Grand Resorts Hawaii has just celebrated its first profit after two years of opening suggests that it is in the growth phase of the product life cycle. This phase is characterized by increasing sales and profits as the product gains acceptance in the market.

Question 19

Which of the following is the most typical example of a new product introduction?
A) Pringles sold in snack-sized containers
B) A brand-new nut discovered in Africa
C) A car that uses no oil or gasoline
D) Shoes that literally make you run faster
E) A device that cools your car while parked outside

Accepted Answer

Introducing a popular snack in a new size or packaging is a common example of a new product introduction that companies often use to attract new customers or keep existing ones interested. Options B, C, D and E are all innovative and groundbreaking ideas, but they may not necessarily be typical examples of new product introductions.

Question 20

Sales of Schwinn's apartment-sized exercise machine have experienced a steady climb; however, the profits have been negative. The Schwinn exercise machine is most likely in the ____ stage of the product life cycle.
A) decline
B) growth
C) initial
D) maturity
E) introduction

Accepted Answer

The answer of Sales of Schwinn's apartment-sized exercise machine have...

Quiz 10: Product, Branding, and Packing Concepts

Which stage in the product life cycle is critical to a product's survival because competitive reactions to the product's success during this period will affect the product's life expectancy?

Marissa, a product manager, thinks her company's InstaCup coffee maker is currently in the growth stage of the product life cycle. If so, the profits for the InstaCup coffee maker _ and the number of competitors __.

During the maturity stage

Aggressive pricing is typical during the ____ stage of the product life cycle.

In which stage of the product life cycle do profits begin to decrease?

The width of a product mix is measured by the number of product

When a business finds itself squeezed out of a market for a product or loses interest in that product, it is a sign of being in the ____ stage of the product life cycle.

When a product experiences an increase in the number of competitors, it is usually in the _ stage of the product life cycle; however, when that competition becomes intense, it is in the stage.

One company markets such diverse products as Rosarita Mexican foods, Max Factor cosmetics, and Samsonite luggage. These various offerings exhibit this firm's product mix

An ad that stresses "Get the real Proactiv Solution; accept no substitutes!" is best geared for which stage of the product life cycle?

Achieving greater penetration of the market is typically a business goal during the ____ stage of the product life cycle.

Which of the following tactics would typically be employed when a product is in the growth stage of its life cycle?

During the introduction stage of a successful product, profits are usually

The four major stages of a product life cycle include

During the growth stage of the product life cycle, marketers must

Heinz promoting its vinegar as an effective cleaner for wall, glass, kitchen, and bathroom surfaces would most likely be a strategy for the ____ stage of the product life cycle.

Grand Resorts Hawaii has just celebrated its first profit since opening two years ago. Grand Resorts Hawaii is most likely in the ____ stage of the product life cycle.

Which of the following is the most typical example of a new product introduction?

Sales of Schwinn's apartment-sized exercise machine have experienced a steady climb; however, the profits have been negative. The Schwinn exercise machine is most likely in the ____ stage of the product life cycle.