Question 1

You know that your small firm cannot compete with the "big boys" in terms of price and promotion.Instead,you have decided to "outdesign" them.What is necessary for this strategy of "outdesigning them" to succeed

Accepted Answer

The answer of You know that your small firm cannot...

Question 2

A manufacturer of hiking boots looks at data that indicate that their subsegment of the market called "serious hiker" is declining and is predicted to decline into the future.The firm decides to enter the "low-price" segment with its new items.This is an example of a firm's ________ to reach a new market.
A) down-market stretch
B) up-market stretch
C) two-way stretch
D) marketing research
E) capitalizing

Accepted Answer

The firm is targeting a lower-priced segment, which is a down-market stretch strategy, as they are stretching downwards from their current subsegment of "serious hiker" to a lower-priced segment.

Question 3

Industrial-goods classifications based on terms of how the products enter the production process and their relative costs include such segments as materials and parts and capital items.Window cleaning services,consumable office supplies,personal computers,desks,paint,nails,and buckets are included in the classifications of industrial goods.List the other "classifications" including subclassifications for industrial goods.

Accepted Answer

The answer of Industrial-goods classifications based on terms of how...

Question 4

Happy Home Products produces detergents,toothpaste,bar soap,disposable diapers,and paper products.This company has a product ________ of five lines.
A) depth
B) length
C) consistency
D) height
E) width

Accepted Answer

The term "width" in product mix refers to the number of different product lines a company offers. Happy Home Products has five different product lines, so it has a product width of five lines.

Question 5

Studying how consumers shop,how they use a particular product or service,and how they dispose of the product when consumed is important for marketers.This information forms the basis of product strategy.First,define the consumption system and second,identify the two upcoming product strategies that are affected by this knowledge.

Accepted Answer

The answer of Studying how consumers shop,how they use a...

Question 6

Betty Crocker cake mixes using Hershey syrup in its cake mixes and "Lunchables" lunch combinations with Taco Bell tacos are examples of what special type of branding
A) Mixed branding
B) Ingredient co-branding
C) Co-branding
D) Self-branding
E) None of the above

Accepted Answer

Hershey syrup and Taco Bell tacos are both used as ingredients in the respective products, and their use is highlighted in the product branding. This is known as ingredient co-branding.

Question 7

McDonald's restaurants inside Super Wal-Marts and Starbucks inside Super Targets are examples of ________,whose main advantages are that the products can or may be convincingly positioned by virtue of the associated brands.
A) cooperative marketing
B) co-branding
C) retail co-branding
D) ingredient branding
E) none of the above

Accepted Answer

Retail co-branding involves two or more retailers sharing one physical space and selling complementary products. In this case, McDonald's and Starbucks are partnering with Wal-Mart and Target respectively to take advantage of the foot traffic in their stores and the existing customer base. Co-branding refers to two separate brands coming together to offer a new product, which is not the case with McDonald's and Starbucks in Wal-Mart and Target. Cooperative marketing involves two or more companies coming together to promote a product or service, and ingredient branding involves promoting a specific ingredient within a product.

Question 8

A new product is advertised on the "infomercials" as being "the best cleaner money can buy" and "if not completely satisfied,return the product for a full refund,including shipping." The strategy of using a strong guarantee in this instance is sound because ________.
A) it is an example of a misleading or false advertising and is illegal
B) the product is so superior to competition that there will be no claims for refunds
C) it is just "advertising fluff" and the manufacturer has no intentions of refunding money
D) for a product that is not too well known, it is "good advertising" because the claims will be a small percentage of sales
E) for a product that is not too well known it reduces the buyer's risk in purchasing

Accepted Answer

The strong guarantee reduces the buyer's risk in purchasing a product that is not too well known. This can lead to increased sales and customer satisfaction.

Question 9

You have been asked to prepare a product-line analysis for your company's stable of products.Why is it important for product-line mangers to do a product-line analysis

Accepted Answer

The answer of You have been asked to prepare a...

Question 10

As the marketing manager for a product often referred to as a "commodity," you know that incremental sales and profits lies not in physical differentiation but in "service" differentiation.As you compose a memo to your boss regarding the concept of "service" differentiation,you note the six areas where service differentiation can make a difference.List these six areas for service differentiation.

Accepted Answer

The answer of As the marketing manager for a product...

Question 11

Sales of luxury goods such as perfumes,colognes,and aftershaves depend heavily upon their initial response by the consumer.A well-designed package can create convenience and promotional value.It has been called the "silent salesman." Which of the three levels of packaging is this "silent salesman"
A) Retailer
B) Consumer
C) Shipping
D) Secondary
E) Primary

Accepted Answer

The "silent salesman" is referring to the primary packaging, which is the first layer of packaging that directly contains the product. It is the level that the consumer interacts with and makes the initial impression for the product.

Question 12

When shopping for tires for your automobile,you notice that the manufacturer you have selected has tires for your car priced low,average,and high,based upon performance and features.This is an example of what type of product-mix pricing
A) Captive-price pricing
B) Product-line pricing
C) By-product pricing
D) Two-part pricing
E) Optional-feature pricing

Accepted Answer

This is an example of product-line pricing, where the manufacturer is offering tires at different price points based on their performance and features. Product-line pricing is used by companies to offer various products within the same product category, with varying levels of features and benefits, to cater to different customer segments and their budgets.

Question 13

In your position as a marketing manager for a small industrial company,you have been asked by the president to help differentiate the company's product from its competitors.In reviewing your marketing management notes,you note that the text stated that physical products could be differentiated in nine ways.These nine areas comprise the "meat" of the memo you are writing to the president of your firm.What are the nine ways that physical products can be differentiated

Accepted Answer

The answer of In your position as a marketing manager...

Question 14

Purchasers of theatre tickets receive a 20% discount if they purchase and pay for the full season at one time.This is an example of what type of product-mix pricing
A) Mixed bundling
B) Pure bundling
C) Cross-promotion
D) Captive pricing
E) None of the above

Accepted Answer

Mixed bundling involves offering a discount when multiple products or services are purchased together, as in the case of buying a full season of theatre tickets.

Question 15

You know that marketers have traditionally classified products based on characteristics of durability,tangibility,and use.You also know that each product type has an appropriate marketing-mix strategy attached.In analyzing your company's products,you decide to list each of these products and the appropriate marketing-mix strategy to understand where your products "fit." List these products and their appropriate marketing-mix strategies.

Accepted Answer

The answer of You know that marketers have traditionally classified...

Question 16

A manufacturer is contemplating introducing a product that is inferior to its competition in its performance,design,and functionality.However,the manufacturer believes that "good brand marketing" can overcome these shortfalls.Why is this thinking incorrect

Accepted Answer

The answer of A manufacturer is contemplating introducing a product...

Question 17

You have been asked to create a product system for your company's personal digital assistant.Before starting,you must define the term "product system" to the engineers to enable them to start design and production of the aligned items.Define the concept of a "product system."

Accepted Answer

The answer of You have been asked to create a...

Question 18

Convenience goods,products purchased without much thought,can be classified as impulse goods and emergency goods,and this constitutes one of the four classifications of goods based on shopping habits.The purchase of a Mercedes automobile,life insurance,homogeneous shopping goods,and heterogeneous shopping goods are examples of the other classifications.Identify these "goods" classifications or segments.

Accepted Answer

The answer of Convenience goods,products purchased without much thought,can be...

Question 19

Marriott Corporation now contains hotels and motels from the "budget" end of the consumer spectrum to the "premium" end with their JD Marriott flagship locations.This is an example of a firm that successfully performed a ________ to reach more consumers and ventures that are more profitable.
A) marketing diversification
B) two-way stretch
C) up-market stretch
D) down-market stretch
E) cross-stretch

Accepted Answer

Marriott Corporation has expanded its offerings to include both budget and premium options, which is an example of a two-way stretch, where a company extends its product line in both directions to capture a broader market.

Question 20

When Jack bought his new laptop,he also bought a laptop bag and a spare power cord through the same retailer.These items are considered to be ________.
A) core products
B) staples
C) convenience items
D) specialties
E) emergency items

Accepted Answer

Convenience items are goods or services that customers purchase frequently, immediately and without much research or thought. Laptop bags and spare power cords are frequently bought along with laptops and are easily available, which makes them convenience items.

Quiz 12: Setting Product Strategy

You know that your small firm cannot compete with the "big boys" in terms of price and promotion.Instead,you have decided to "outdesign" them.What is necessary for this strategy of "outdesigning them" to succeed

Happy Home Products produces detergents,toothpaste,bar soap,disposable diapers,and paper products.This company has a product ________ of five lines.

Betty Crocker cake mixes using Hershey syrup in its cake mixes and "Lunchables" lunch combinations with Taco Bell tacos are examples of what special type of branding

McDonald's restaurants inside Super Wal-Marts and Starbucks inside Super Targets are examples of ________,whose main advantages are that the products can or may be convincingly positioned by virtue of the associated brands.

A new product is advertised on the "infomercials" as being "the best cleaner money can buy" and "if not completely satisfied,return the product for a full refund,including shipping." The strategy of using a strong guarantee in this instance is sound because ________.

You have been asked to prepare a product-line analysis for your company's stable of products.Why is it important for product-line mangers to do a product-line analysis

Sales of luxury goods such as perfumes,colognes,and aftershaves depend heavily upon their initial response by the consumer.A well-designed package can create convenience and promotional value.It has been called the "silent salesman." Which of the three levels of packaging is this "silent salesman"

When shopping for tires for your automobile,you notice that the manufacturer you have selected has tires for your car priced low,average,and high,based upon performance and features.This is an example of what type of product-mix pricing

Purchasers of theatre tickets receive a 20% discount if they purchase and pay for the full season at one time.This is an example of what type of product-mix pricing

A manufacturer is contemplating introducing a product that is inferior to its competition in its performance,design,and functionality.However,the manufacturer believes that "good brand marketing" can overcome these shortfalls.Why is this thinking incorrect

You have been asked to create a product system for your company's personal digital assistant.Before starting,you must define the term "product system" to the engineers to enable them to start design and production of the aligned items.Define the concept of a "product system."

Marriott Corporation now contains hotels and motels from the "budget" end of the consumer spectrum to the "premium" end with their JD Marriott flagship locations.This is an example of a firm that successfully performed a ________ to reach more consumers and ventures that are more profitable.

When Jack bought his new laptop,he also bought a laptop bag and a spare power cord through the same retailer.These items are considered to be ________.