Question 1

A regional utility company needs to change consumers' perceptions of its current service as being harmful to the environment.Which of the following strategies would best allow the company to accomplish this goal?
A)contraction of the number of services offered by the utility company
B)adding new services to its product line
C)repositioning
D)disintermediation

Accepted Answer

Repositioning is a firm's attempt to change customer perceptions of a product.

Question 2

According to market research conducted in 2004,Bazooka (a brand of bubble gum)was among the most recognizable brand names in North America even though the gum needed some updating to be competitive in today's market.
-Refer to Bazooka.What does Bazooka have that made the company willing to1 make modifications in the product?
A)a valuable brand loyalty hierarchy
B)a valuable evoked set
C)a valuable brand quality standard
D)a valuable brand equity

Accepted Answer

The term "brand equity" refers to the tremendous value of company and brand names.

Question 3

One of the leading manufacturers of choir robes has added a fire retardant chemical to the fabric it uses in making the robes.The company has not changed its prices.What type of modification is this?
A)functional
B)obsolescence
C)quality
D)repositioning

Accepted Answer

Functional modifications are changes in a product's versatility,effectiveness,convenience,or safety.

Question 4

Which of the following statements best describes planned obsolescence?
A)Environmentalists support planned obsolescence.
B)A company that is interested in producing a quality product would never engage in planned obsolescence.
C)Style modification creates planned obsolescence.
D)Planned obsolescence is not an ethical issue.

Accepted Answer

Environmentalists consider planned obsolescence a wasteful practice as well as unethical.There are many manufacturers of quality clothing that engage in planned obsolescence.Planned obsolescence can result from any type of modification.

Question 5

Cadbury Schweppes produces several different brands of beverages including 7UP,Canada Dry,Dr Pepper,Hawaiian Punch,and Snapple.What is this an example of?
A)Cadbury's product line width
B)Cadbury's product mix
C)Cadbury's product line depth
D)Cadbury's marketing mix

Accepted Answer

Product line depth is the number of product items in a product line.

Question 6

What is the most likely reason that Ford stopped producing the Taurus automobile?
A)The car was not contributing to Ford's profits.
B)The Taurus brand lacked brand equity.
C)The Ford Taurus did not create significant cognitive dissonance.
D)The automobile's brand could not be trademarked.

Accepted Answer

This was an example of a product line contraction.

Question 7

Rexona is the number one brand of deodorant worldwide.
-Refer to Rexona.The brand is a leader in Europe,South America,Asia,Africa,and the Middle East.Rexona is an example of which of the following?
A)master brand.
B)global brand.
C)cannibalized brand.

Accepted Answer

At least 20 percent of a global brand is sold outside its home country.

Question 8

Alberto-Culver introduced Baker's Joy in the mid-1980s as a product for cooks to use to grease and flour baking pans.The product was not nearly as successful as Alberto-Culver hoped,and it discontinued the product in 2001.What type of strategy was being implemented when Alberto-Culver discontinued the product?
A)repositioning
B)cannibalization
C)product line extension
D)product line contraction

Accepted Answer

Product line contraction involves discontinuing unprofitable or underperforming products, which is what Alberto-Culver did with Baker's Joy.

Question 9

A go-cart manufacturer recently added shock absorbers to make the ride in its go-carts smoother.It has not changed its prices.What type of modification is this?
A)upsale
B)style
C)dysfunctional
D)quality

Accepted Answer

Quality modifications entail changing a product's dependability or durability.

Question 10

Rexona is the number one brand of deodorant worldwide.
-Refer to Rexona.Since it was launched in the 1960s,it has added an antiperspirant,a stick deodorant,deodorant wipes,and Rexona for Men.What are these additions examples of?
A)product line extensions
B)product portfolio width adjustments
C)product item contractions
D)SBU expansions

Accepted Answer

Product line extension occurs when a firm adds a product to an existing product line to compete more broadly in the industry.

Question 11

For years,many people thought plastic wrap was almost impossible to use and refused to buy the product.The manufacturer of Saran plastic wrap has spent many advertising dollars advising customers on how to eliminate the problems associated with the use of plastic wrap.What did the manufacturer engaged in?
A)diversification
B)repositioning
C)product development
D)product line expansion

Accepted Answer

Repositioning is changing consumers' perceptions about a brand.

Question 12

V8 juice has for years advertised itself as a refreshing and nutritious drink that contains eight different vegetables,and that is what the brand name V8 means to most consumers.What type of strategy was used when the manufacturer of V8 juice introduced V8 Orange and Mango juice?
A)repositioning
B)product line extension
C)cannibalization
D)disintermediation

Accepted Answer

Product line extension is the adding of additional products to an existing product line in order to compete more broadly in the industry.

Question 13

What is a style modification?
A)a change in the product's durability or dependability
B)a safety improvement
C)an aesthetic product change
D)a way to add convenience

Accepted Answer

A style modification refers to a change in the appearance or design of a product. This is typically done to update or improve the product's aesthetic appeal and attract customers.

Question 14

According to market research conducted in 2004,Bazooka (a brand of bubble gum)was among the most recognizable brand names in North America even though the gum needed some updating to be competitive in today's market.
-Refer to Bazooka.The company's research discovered that children that today50 prefer softer bubble gum and that its Joe character was viewed as an "out-of-date nerd." As a result,Bazooka created a softer gum and updated Bazooka Joe with a backward hat,wilder hair,and ripped jeans.How does Bazooka hope to attract a younger market?
A)through quality modification
B)through aesthetic modification
C)through demarketing
D)through repositioning

Accepted Answer

Repositioning involves changing consumers' perceptions of a product.

Question 15

The introduction of Tide Simple Pleasures,a laundry detergent inspired by the natural essences of vanilla and lavender,is an example of which of the following?
A)product modification
B)brand mix extension
C)product diversification
D)brand repositioning

Accepted Answer

A product modification changes one of more of a product's characteristics-in this example,its smell.

Question 16

What is the term for the part of the brand that can be spoken?
A)brand equity
B)service mark
C)trademark
D)brand name

Accepted Answer

The part of the brand that can be spoken is the brand name. It is the verbal or linguistic element of the brand that is used to identify and distinguish it from other brands. Examples of brand names include Coca-Cola, Nike, and Apple.

Question 17

Cover Girl and Revlon are both recognized as leading manufacturers of cosmetics.Both companies have recently introduced cosmetics for the over-50 woman who does not have the same concerns as a 20-year-old woman.Which type of strategy is being implemented by the introductions of these cosmetics?
A)portfolio breadth expansion
B)product portfolio width adjustment
C)product item contraction
D)product line extension

Accepted Answer

Product line extension occurs when a firm adds a product to an existing product line to compete more broadly in the industry.

Question 18

What commonly occurs soon after style modification?
A)implied repositioning
B)demarketing
C)marketing innovation
D)planned obsolescence

Accepted Answer

Planned obsolescence is a term commonly used to describe the practice of modifying a product so that those already sold become obsolete.

Question 19

Which symbol cannot be spoken in a brand?
A)brand mark
B)trademark
C)brand equity
D)intangible product

Accepted Answer

A brand mark is a symbol or graphic element that represents a brand, but it cannot be spoken or pronounced as a word. While a trademark is a word, phrase, symbol, or design that identifies and distinguishes a brand, brand equity refers to the value of a brand, and intangible product refers to a product that cannot be physically touched or seen.

Question 20

Due to the fact the Honda Insight (a hybrid car)has never caught on with buyers,Honda decided to stop manufacturing the car in 2006.This will allow Honda to concentrate its resources on more profitable vehicles.Which of the following terms best describes this?
A)product line contraction
B)product diversification
C)product development strategy
D)market redeployment

Accepted Answer

Product line contraction occurs when a company stops making a product.

Quiz 9: Product Concepts

A regional utility company needs to change consumers' perceptions of its current service as being harmful to the environment.Which of the following strategies would best allow the company to accomplish this goal?

One of the leading manufacturers of choir robes has added a fire retardant chemical to the fabric it uses in making the robes.The company has not changed its prices.What type of modification is this?

Which of the following statements best describes planned obsolescence?

Cadbury Schweppes produces several different brands of beverages including 7UP,Canada Dry,Dr Pepper,Hawaiian Punch,and Snapple.What is this an example of?

What is the most likely reason that Ford stopped producing the Taurus automobile?

Rexona is the number one brand of deodorant worldwide. -Refer to Rexona.The brand is a leader in Europe,South America,Asia,Africa,and the Middle East.Rexona is an example of which of the following?

A go-cart manufacturer recently added shock absorbers to make the ride in its go-carts smoother.It has not changed its prices.What type of modification is this?

Rexona is the number one brand of deodorant worldwide. -Refer to Rexona.Since it was launched in the 1960s,it has added an antiperspirant,a stick deodorant,deodorant wipes,and Rexona for Men.What are these additions examples of?

V8 juice has for years advertised itself as a refreshing and nutritious drink that contains eight different vegetables,and that is what the brand name V8 means to most consumers.What type of strategy was used when the manufacturer of V8 juice introduced V8 Orange and Mango juice?

What is a style modification?

The introduction of Tide Simple Pleasures,a laundry detergent inspired by the natural essences of vanilla and lavender,is an example of which of the following?

What is the term for the part of the brand that can be spoken?

Cover Girl and Revlon are both recognized as leading manufacturers of cosmetics.Both companies have recently introduced cosmetics for the over-50 woman who does not have the same concerns as a 20-year-old woman.Which type of strategy is being implemented by the introductions of these cosmetics?

What commonly occurs soon after style modification?

Which symbol cannot be spoken in a brand?

Due to the fact the Honda Insight (a hybrid car) has never caught on with buyers,Honda decided to stop manufacturing the car in 2006.This will allow Honda to concentrate its resources on more profitable vehicles.Which of the following terms best describes this?