Quiz 1 6 March 2019, questions and answers PDF

Preview

Summary

Download Quiz 1 6 March 2019, questions and answers PDF

Description

THINK Marketing, 3e Chapter 8: Product Strategy

Chapter 8 Product Strategy 1) The total product concept refers to the complete range of products produced by a company. Answer: FALSE Diff: 1 Type: TF Page Ref: 173 Skill: Recall LO: 1 2) Powerade is available in a variety of flavours. This represents a product line. Answer: TRUE Diff: 1 Type: TF Page Ref: 174 Skill: Applied LO: 1 3) P&G added Whitestrips to the existing family of Crest tooth care products. This represents an increase in P&G's product line width. Answer: FALSE Diff: 3 Type: TF Page Ref: 174 Skill: Applied LO: 1 4) The product mix is the total range of products offered for sale by a company. Answer: TRUE Diff: 1 Type: TF Page Ref: 173 Skill: Recall LO: 1 5) USP stands for unique service point. Answer: FALSE Diff: 1 Type: TF Page Ref: 173 Skill: Recall LO: 1 6) Product line width refers to the number of lines in the mix; product line depth refers to the number of items in the line. Answer: TRUE Diff: 1 Type: TF Page Ref: 174 Skill: Recall LO: 1 7) If Kraft adds fruit to its "Multimix" cereals to differentiate its cereal from the competition, this fruit addition is an example of the brand's USP. Answer: TRUE Diff: 2 Type: TF Page Ref: 173 Skill: Applied LO: 1 8) Goods that consumers will go out of their way to buy for their unique and important Copyright © 2019 Pearson Canada Inc.

8-183

THINK Marketing, 3e Chapter 8: Product Strategy

characteristics are called shopping goods. Answer: FALSE Diff: 2 Type: TF Page Ref: 176 Skill: Recall LO: 2 9) Processed materials are used in the production of another product but are not readily identified with the product. Answer: TRUE Diff: 2 Type: TF Page Ref: 178 Skill: Recall LO: 2 10) Nescafe coffee, Salada tea, Dad's Cookies, and milk are examples of convenience goods. Answer: TRUE Diff: 2 Type: TF Page Ref: 175 Skill: Applied LO: 2 11) Goodyear tires are an example of a raw material used in the production of automobiles. Answer: FALSE Diff: 2 Type: TF Page Ref: 178 Skill: Applied LO: 2 12) Typically, farm goods and natural resources are both categorized as raw materials. Answer: TRUE Diff: 1 Type: TF Page Ref: 178 Skill: Applied LO: 2 13) The familiarity of a trademark like Kleenex is not always an advantage in the marketplace. Answer: TRUE Diff: 3 Type: TF Page Ref: 179 Skill: Recall LO: 3 14) In a family branding strategy, the brand name is always the company name. Answer: FALSE Diff: 2 Type: TF Page Ref: 180 Skill: Recall LO: 3 15) An individual brand name is extended to a new product to give the new product instant credibility. Answer: TRUE Diff: 2 Type: TF Page Ref: 180 Skill: Recall Copyright © 2019 Pearson Canada Inc.

8-184

THINK Marketing, 3e Chapter 8: Product Strategy

LO: 3 16) New Belgium Brewing’s launch of a Ben & Jerry’s caramel beer is an example of cobranding. Answer: TRUE Diff: 1 Type: TF Page Ref: 180 Skill: Recall LO: 3 17) Multi-branding is when a company uses different brand names for each item in a product category. Answer: TRUE Diff: 1 Type: TF Page Ref: 180 Skill: Recall LO: 3 18) A cult brand is purchased by only certain subcultures in society. Answer: FALSE Diff: 1 Type: TF Page Ref: 182 Skill: Recall LO: 3 19) The Nike swoosh is an example of a trademark. Answer: TRUE Diff: 2 Type: TF Page Ref: 179 Skill: Applied LO: 3 20) Nissan Pathfinder is an example of a company and product family brand. Answer: TRUE Diff: 3 Type: TF Page Ref: 180 Skill: Applied LO: 3 21) Canadian Tire Motomaster is an example of co-branding. Answer: FALSE Diff: 2 Type: TF Page Ref: 181 Skill: Applied LO: 3 22) The blue Ford oval, Nabisco's red triangle, and Apple Computer's apple with a bite taken out of it are examples of brandmarks. Answer: TRUE Diff: 2 Type: TF Page Ref: 179 Skill: Applied LO: 3 23) Colgate, Hertz, Betty Crocker, and Scope are examples of brandmarks. Copyright © 2019 Pearson Canada Inc.

8-185

THINK Marketing, 3e Chapter 8: Product Strategy

Answer: FALSE Diff: 2 Type: TF Page Ref: 179 Skill: Applied LO: 3 24) Major automotive manufacturers use an individual brand strategy in their marketing efforts. Answer: TRUE Diff: 2 Type: TF Page Ref: 180 Skill: Applied LO: 3 25) An entrepreneur has invented a new board game and wants to protect his idea from others. He should apply for a trademark. Answer: FALSE Diff: 3 Type: TF Page Ref: 179 Skill: Applied LO: 3 26) A family brand product of poor quality could tarnish the image of other products in the family. Answer: TRUE Diff: 1 Type: TF Page Ref: 180 Skill: Recall LO: 3 27) Nike is considered a family brand. Answer: TRUE Diff: 2 Type: TF Page Ref: 180 Skill: Applied LO: 3 28) Customers value trusted brands because they indicate familiar levels of quality and familiar product performance, therefore easing the purchase decision. Answer: TRUE Diff: 1 Type: TF Page Ref: 190 Skill: Applied LO: 5 29) Lululemon is an example of a cult brand. Answer: TRUE Diff: 2 Type: TF Page Ref: 182 Skill: Applied LO: 3 30) Heinz is a good example of a family brand with the company having the same name. Answer: TRUE Diff: 2 Type: TF Page Ref: 180 Skill: Applied Copyright © 2019 Pearson Canada Inc.

8-186

THINK Marketing, 3e Chapter 8: Product Strategy

LO: 3 31) Packaging is an integral part of selling. Answer: TRUE Diff: 2 Type: TF Page Ref: 183 Skill: Recall LO: 4 32) Marketers should include as much information about the product as possible on the package. Answer: FALSE Diff: 2 Type: TF Page Ref: 183 Skill: Recall LO: 4 33) In 2001 the Royal Bank of Canada became known to its customers as "RBC." This change demonstrates the renovation stage of brand design. Answer: TRUE Diff: 2 Type: TF Page Ref: 189-190 Skill: Applied LO: 5 34) The secondary package actually contains the product. Answer: FALSE Diff: 2 Type: TF Page Ref: 185 Skill: Recall LO: 4 35) A UPC is a "unique product category." Answer: FALSE Diff: 1 Type: TF Page Ref: 188 Skill: Recall LO: 4 36) When a brand reaches the stage of "brand preference," customers delay a purchase rather than switch to another brand in the case of unavailability. Answer: FALSE Diff: 2 Type: TF Page Ref: 191 Skill: Recall LO: 6 37) A company tries to change the package design of a popular brand. Consumers react negatively. These consumers are brand insistent. Answer: TRUE Diff: 2 Type: TF Page Ref: 191 Skill: Applied LO: 6 38) Chris goes to the baseball game and orders a Coors Lite draft. That brand is not available, so Copyright © 2019 Pearson Canada Inc.

8-187

THINK Marketing, 3e Chapter 8: Product Strategy

he accepts a Miller Lite draft instead. For Chris, Coors is in the brand preference stage. Answer: TRUE Diff: 2 Type: TF Page Ref: 191 Skill: Applied LO: 6 39) What is the best definition of a product in the "total product concept"? A) tangible goods that can be purchased to satisfy a consumer need B) the total sum of a firm's manufacturing capability C) all elements of the marketing mix D) a bundle of tangible and intangible benefits that a buyer receives in exchange for money or other considerations E) a physical item with related features that provides utility to the buyer Answer: D Diff: 1 Type: MC Page Ref: 173 Skill: Recall LO: 1 40) The total range of products offered for sale by a company is the A) product mix. B) product line. C) product item. D) product concept. E) unique selling point. Answer: A Diff: 1 Type: MC Page Ref: 174 Skill: Recall LO: 1 41) What does USP stands for? A) universal service provider B) universal selling proposition C) unique selling point D) underlying sales potential E) unique service proposition Answer: C Diff: 1 Type: MC Page Ref: 173 Skill: Recall LO: 1 42) A group of product items that have major attributes in common is called a A) merchandising mix. B) product line depth. C) product concept. D) product line. E) product mix. Answer: D Diff: 1 Type: MC Page Ref: 174 Copyright © 2019 Pearson Canada Inc.

8-188

THINK Marketing, 3e Chapter 8: Product Strategy

Skill: Recall LO: 1 43) The number of items in a company's product line is A) its positioning. B) the total product concept. C) the unique selling point. D) the product line depth. E) the product line width. Answer: D Diff: 1 Type: MC Page Ref: 174 Skill: Recall LO: 1 44) Procter & Gamble's introduction of the no-drip spout on containers of liquid laundry detergent is an example of this product line's A) product benefit. B) product depth. C) unique selling point. D) product concept. E) product breadth. Answer: C Diff: 2 Type: MC Page Ref: 173 Skill: Applied LO: 1 45) Crest toothpaste is available in a variety of sizes and flavours. It comes in a paste or gel format and is packaged in a pump or tube. This describes Crest's A) merchandising mix. B) brand strategy. C) marketing mix. D) product line width. E) product line. Answer: E Diff: 2 Type: MC Page Ref: 174 Skill: Applied LO: 1 46) The total range of models manufactured by Toyota represents this company's A) marketing mix. B) product mix. C) product line. D) brand strategy. E) product line width. Answer: B Diff: 2 Type: MC Page Ref: 174 Skill: Applied LO: 1 Copyright © 2019 Pearson Canada Inc.

8-189

THINK Marketing, 3e Chapter 8: Product Strategy

47) The number of lines in the product mix is the A) total product concept. B) unique selling point. C) product line width. D) product line depth. E) product's positioning. Answer: C Diff: 1 Type: MC Page Ref: 174 Skill: Recall LO: 1 48) A relatively new category of cereals referred to as the "multi-mix" category is growing fast. Kraft's addition of "Post Selects," which, unlike competitive products, combines fruit with whole grains, is an example of their A) product line. B) product concept. C) USP. D) vision in the category. E) product mix. Answer: C Diff: 2 Type: MC Page Ref: 173 Skill: Applied LO: 1 49) What are the three classifications of consumer goods? A) size, weight, and shelf life B) convenience, shopping, and specialty C) disposable, nondurable, and durable D) male, female, and unisex targeted E) price range, style, and quality Answer: B Diff: 2 Type: MC Page Ref: 175-176 Skill: Recall LO: 2 50) The distinction between a consumer good and an industrial good is based on A) the strength and quality of the good. B) whether the good will be used to manufacture of another product. C) whether the good is sold by a wholesaler or retailer. D) who buys the goods and why. E) sales volume and average price per unit. Answer: B Diff: 1 Type: MC Page Ref: 175 Skill: Recall LO: 2 51) A nondurable good is Copyright © 2019 Pearson Canada Inc.

8-190

THINK Marketing, 3e Chapter 8: Product Strategy

A) a tangible good that is normally consumed after only a few uses. B) a tangible good that is a fad or trend with a short product life cycle. C) a tangible good that the consumer rents or leases but does not own. D) an intangible good from which the consumer benefits. E) a tangible good that does not wear out quickly. Answer: A Diff: 2 Type: MC Page Ref: 175 Skill: Recall LO: 2 52) Industrial goods are products or services A) purchased for use in the production of another good or service that is resold. B) that are sold only in limited quantities to the final consumer. C) purchased for use in the production of only those goods or services that are resold to retailers. D) sold only to large manufacturers. E) that can be resold after the initial purchase. Answer: A Diff: 2 Type: MC Page Ref: 175 Skill: Recall LO: 2 53) Convenience goods include A) business goods reordered on a regular basis. B) staple goods such as food. C) unsought goods. D) shopping goods. E) specialty goods. Answer: B Diff: 2 Type: MC Page Ref: 175 Skill: Recall LO: 2 54) Goods that consumers compare on such bases as suitability, quality, price, and style before making a selection are A) unsought goods. B) staple goods. C) specialty goods. D) convenience goods. E) shopping goods. Answer: E Diff: 1 Type: MC Page Ref: 176 Skill: Recall LO: 2 55) How a consumer good is classified depends on A) the behaviour of the consumer. B) its quality. C) its size. Copyright © 2019 Pearson Canada Inc.

8-191

THINK Marketing, 3e Chapter 8: Product Strategy

D) its price. E) its durability. Answer: A Diff: 2 Type: MC Page Ref: 175 Skill: Recall LO: 2 56) Expensive industrial goods that have a long life span are A) supplies. B) services. C) component parts. D) parts and materials. E) capital items. Answer: E Diff: 1 Type: MC Page Ref: 177 Skill: Recall LO: 2 57) Installations are A) capital items used directly in the production of another product. B) seldom a decision of top managers. C) an artistic display in a retail venue. D) first-time capital purchases. E) always custom made. Answer: A Diff: 1 Type: MC Page Ref: 177 Skill: Recall LO: 2 58) Less expensive capital items that are usually not part of a finished product but that facilitate a firm's overall operation are called A) component parts. B) component materials. C) supplies. D) quasi-installations. E) accessory equipment. Answer: E Diff: 2 Type: MC Page Ref: 178 Skill: Recall LO: 2 59) If the Ford Motor Company purchased radios from Sony for installation in all models of the Taurus, how would these radios be classified? A) component parts B) accessory components C) processed materials D) installations E) raw materials Copyright © 2019 Pearson Canada Inc.

8-192

THINK Marketing, 3e Chapter 8: Product Strategy

Answer: A Diff: 2 Type: MC Page Ref: 178 Skill: Applied LO: 2 60) Chantal was assembling a basket of food products for an important client gift. The products were available in only a few stores. The first item on her list was a spiced vinegar from the Middle East. What type of good is this? A) a specialty good B) a heterogeneous shopping good C) an emergency good D) an unsought good E) a convenience good Answer: A Diff: 2 Type: MC Page Ref: 176 Skill: Applied LO: 2 61) A community college purchases 250 computers to upgrade its lab facilities. What would these computers be classified as? A) accessory equipment B) operating supplies C) installations D) industrial goods E) specialty goods Answer: A Diff: 2 Type: MC Page Ref: 178 Skill: Applied LO: 2 62) Ford buys a GPS satellite tracking system to put into its automobiles. How would this good be classified? A) accessory part B) unsought good C) raw material D) component part E) processed material Answer: D Diff: 2 Type: MC Page Ref: 178 Skill: Applied LO: 2 63) Labatt purchases grain from a local farmer to make beer, which is sold to the final consumer. The grain is considered a A) production good. B) nondurable good. C) material good. D) industrial (business) good. Copyright © 2019 Pearson Canada Inc.

8-193

THINK Marketing, 3e Chapter 8: Product Strategy

E) disposable good. Answer: D Diff: 2 Type: MC Page Ref: 176-177 Skill: Applied LO: 2 64) Which of the following products is most likely to be considered a typical convenience good? A) a new car B) a loaf of bread C) a dishwasher D) a new window for your home E) a new cell phone with MP3 player Answer: B Diff: 2 Type: MC Page Ref: 175 Skill: Applied LO: 2 65) Andrew spends two hours in Canadian Tire looking for seat covers for his truck. He checks carefully to compare price, suitability to the model, quality, and style before he makes his purchase decision. For Andrew, the seat covers are a(n) ________ good. A) unsought B) durability C) shopping D) staple E) convenience Answer: C Diff: 2 Type: MC Page Ref: 176 Skill: Applied LO: 2 66) In general, farm goods make up what category of materials? A) processed materials B) packaged materials C) fresh materials D) raw materials E) finished goods Answer: D Diff: 2 Type: MC Page Ref: 178 Skill: Applied LO: 2 67) What is the name for products that have no brand name or identifying features? A) no name brand B) store brand C) generic brand D) individual brand E) private label brand Answer: C Copyright © 2019 Pearson Canada Inc.

8-194

THINK Marketing, 3e Chapter 8: Product Strategy

Diff: 2 Type: MC Page Ref: 181 Skill: Applied LO: 3 68) A bank purchases 15 boxes of legal paper for its printing and document copying needs. For the bank, the paper is considered A) a component part. B) a raw material. C) a processed material. D) supply. E) accessory equipment. Answer: D Diff: 2 Type: MC Page Ref: 178 Skill: Applied LO: 3 69) A name, term, symbol, or design (or combination of them) that identifies goods and services is called a A) brand name. B) trademark. C) logo. D) brand. E) brandmark. Answer: D Diff: 2 Type: MC Page Ref: 178 Skill: Recall LO: 3 70) When the same brand name is used for a group of related products, a ________ strategy exists. A) family brand B) uni-brand C) monobrand D) multibrand E) homogeneous brand Answer: A Diff: 2 Type: MC Page Ref: 180 Skill: Recall LO: 3 71) When a company uses the equity in another brand name to help market its own brand name it is A) co-branding. B) divesting. C) equibranding. D) cannibalizing. E) reversifying. Answer: A Copyright © 2019 Pearson Canada Inc.

8-195

THINK Marketing, 3e Chapter 8: Product Strategy

Diff: 2 Type: MC Page Ref: 180 Skill: Recall LO: 3 72) A brand that captures the imagination of a small group of consumers who spread the word and make converts is a A) micro-brand. B) mini-brand. C) cult brand. D) niche brand. E) pseudo-brand. Answer: C Diff: 2 Type: MC Page Ref: 182 Skill: Recall LO: 3 73) The Nike swoosh is an example of a A) brand name. B) patent mark. C) trademark. D) trade symbol. E) product mark. Answer: C Diff: 3 Type: MC Page Ref: 179 Skill: Applied LO: 3 74) To protect a manufacturing process or product design from being copied by competitors, a new manufacturer of skateboards should apply for A) brandmark designation. B) product protection. C) trademark registration. D) copyright protection. E) patent protection. Answer: E Diff: 2 Type: MC Page Ref: 179 Skill: Applied LO: 3 75) Kraft brands such as Minute Rice, Dream Whip, and Shake 'n Bake are classified as A) individual brands. B) generic brands. C) family brands. D) national brands. E) manufacturers' brands. Answer: A Diff: 2 Type: MC Page Ref: 180 Skill: Applied Copyright © 2019 Pearson Canada Inc.

8-196

THINK Marketing, 3e Chapter 8: Product Strategy

LO: 3 76) Lever Brothers sells bar soap under the following brands: Dove, Lifebuoy, Caress, and Lux. This is an example of A) a multibrand strategy. B) a family brand strategy. C) a propriety brand strategy. D) a licensed brand strategy. E) a co-branding strategy. Answer: A Diff: 2 Type: MC Page Ref: 180 Skill: Applied LO: 3 77) The Heinz brand name is used for baby food, infant cereals, ketchup, and pickles. In this example the Heinz brand is considered a A) family brand. B) co-brand. C) multibrand. D) propriety brand. E) licensed brand. Answer: A Diff: 2 Type: MC Page Ref: 180 Skill: Applied LO: 3 78) Kenmore, President's Choice, and Mastercraft are examples of A) national brands. B) licensed brands. C) private label brands. D) home brands. E) generic brands. Answer: C Diff: 2 Type: MC Page Ref: 181 Skill: Applied LO: 3 79) Loblaws sells a number of inexpensive products in its supermarkets. These products are simply packed and are not branded. These products are called A) unbranded. B) nonbrands. C) individual brands. D) generic brands. E) family brands. Answer: D Diff: 2 Type: MC Page Ref: 181 Skill: Applied LO: 3 Copyright © 2019 Pearson Canada Inc.

8-197

THINK Marketing, 3e Chapter 8: Product Strategy

80) If Nike allows its brand name to be used on clothing or posters made by other firms, the practice is an example of A) cooperative branding. B) licensed branding. C) universal branding. D) generic branding. E) family branding. Answer: B Diff: 2 Type: MC Page Ref: 182 Skill: Applied LO: 3 81) What is the most accurate statement about private label brands? A) They are the cheapest products. B) They appeal to lower-income consumers. C) They generally offer the best value. D) They were initially designed for value-c...