Question 1

The depth of a product mix is a measure of the average number of individual products within each line.

Accepted Answer

A) True 
 B)False

Question 2

Product ideas are transformed into prototypes during which stage of the product development process?

Accepted Answer

A)  Business analysis
B)  Test marketing
C)  Commercialization
D)  Product development
E)  Concept testingF) C) and E)
G) None of the above

Question 3

The sum of the fixed costs and the variable costs of producing a certain number of units is called the

Accepted Answer

A)  cost of goods sold.
B)  equilibrium cost.
C)  total cost.
D)  breakeven cost.
E)  total operating expense.F) C) and E)
G) None of the above

Question 4

What is brand equity? Describe the major factors that make up brand equity.

Accepted Answer

Brand equity is the marketing and financ...

Question 5

A branding strategy in which a firm uses the same brand for all or most of its products is called ____ branding.

Accepted Answer

A)  producer
B)  individual
C)  unity
D)  family
E)  promotionF) B) and D)
G) B) and E)

Question 6

Your Way, Inc.
Eric buys companies that are small or companies in financial troubl
After looking over the different products available, Eric realized that the company's previous owner was not aware of the product life-cycle because the company kept items that were obviously too old and out-of-dat
-Refer to Your Way, Inc. The sewing machines are considered ____ for Your Way.

Accepted Answer

A)  raw materials
B)  accessory equipment
C)  component parts
D)  process material
E)  major equipmentF) A) and B)
G) B) and D)

Question 7

Which of the following is not a phase in the new product development process?

Accepted Answer

A)  Business analysis
B)  Test marketing
C)  Development
D)  Screening
E)  ModificationF) All of the above
G) B) and E)

Question 8

Some pricing objectives include surviving, maximizing profit, obtaining market-share goals, and maintaining status quo.

Accepted Answer

A) True 
 B)False

Question 9

Which business product classification is most appropriate for the wire used inside a stereo system?

Accepted Answer

A)  Raw material
B)  Major equipment
C)  Accessory equipment
D)  Component part
E)  Process materialF) A) and D)
G) All of the above

Question 10

Demand-based pricing, unlike cost-based pricing, places firms in a better position to

Accepted Answer

A)  attain higher profit levels.
B)  estimate demand easily and accurately.
C)  perform breakeven analysis.
D)  calculate price based on intangible benefits.
E)  penetrate the market quickly.F) A) and D)
G) A) and E)

Question 11

The product life-cycle stage in which there is a rapid sales increase, other firms have begun to market competing products, and lower unit costs and an overall tendency toward increased profit prevail is called

Accepted Answer

A)  growth.
B)  extension.
C)  introduction.
D)  decline.
E)  maturity.F) A) and D)
G) A) and C)

Question 12

Everything that one receives in an exchange, including all tangible and intangible attributes and expected benefits, is called a

Accepted Answer

A)  package.
B)  contract.
C)  product.
D)  trade.
E)  warranty.F) A) and E)
G) B) and E)

Question 13

Manufacturers, wholesalers, and retailers do not use negotiated pricing strategies.

Accepted Answer

A) True 
 B)False

Question 14

What are the major phases involved in the new product development process?

Accepted Answer

The phases of new-product deve...

Question 15

Mama Mia restaurant purchased two large ovens for its kitchen. These ovens are an example of which type of business product?

Accepted Answer

A)  Convenience product
B)  Accessory equipment
C)  Major equipment
D)  Component parts
E)  Process materialF) A) and E)
G) A) and B)

Question 16

Toyota was recently able to endure challenging times that required massive recalls affecting several million of its vehicles. Toyota has relied on its ___ to survive and continue to prosper.

Accepted Answer

A)  brand extension
B)  family branding
C)  individual branding
D)  brand equity
E)  brand loyaltyF) B) and D)
G) C) and D)

Question 17

In the decline life-cycle stage of a product, less profitable versions of the product are sold at reduced rates to cut losses.

Accepted Answer

A) True 
 B)False

Question 18

The label on a bag of Fritos is not required to describe the

Accepted Answer

A)  number of servings it contains.
B)  number of calories derived from fat.
C)  safety precautions.
D)  number of calories per serving.
E)  serving size.Click It, Inc.F) A) and D)
G) All of the above

Question 19

Describe non-price competition. When might it be used?

Accepted Answer

Non-price competition is competition bas...

Question 20

Under what circumstances might a firm use survival pricing objectives? How would a firm implement such a strategy?

Accepted Answer

Survival pricing would be used only when...

Exam 12: Creating and Pricing Products That Satisfy Customers

Manufacturers, wholesalers, and retailers do not use negotiated pricing strategies.

Correct Answer
verified

What are the major phases involved in the new product development process?

Correct Answer
verified
The phases of new-product deve...
View Answer

What is brand equity? Describe the major factors that make up brand equity.

Correct Answer
verified
Brand equity is the marketing and financ...
View Answer

A branding strategy in which a firm uses the same brand for all or most of its products is called ____ branding.

Correct Answer
verified

Which of the following is not a phase in the new product development process?

Correct Answer
verified

The product life-cycle stage in which there is a rapid sales increase, other firms have begun to market competing products, and lower unit costs and an overall tendency toward increased profit prevail is called

Correct Answer
verified

Product ideas are transformed into prototypes during which stage of the product development process?

Correct Answer
verified

Mama Mia restaurant purchased two large ovens for its kitchen. These ovens are an example of which type of business product?

Correct Answer
verified

The label on a bag of Fritos is not required to describe the

Correct Answer
verified

Some pricing objectives include surviving, maximizing profit, obtaining market-share goals, and maintaining status quo.

Correct Answer
verified

Under what circumstances might a firm use survival pricing objectives? How would a firm implement such a strategy?

Correct Answer
verified
Survival pricing would be used only when...
View Answer

The sum of the fixed costs and the variable costs of producing a certain number of units is called the

Correct Answer
verified

Which business product classification is most appropriate for the wire used inside a stereo system?

Correct Answer
verified

In the decline life-cycle stage of a product, less profitable versions of the product are sold at reduced rates to cut losses.

Correct Answer
verified

The depth of a product mix is a measure of the average number of individual products within each line.

Correct Answer
verified

Toyota was recently able to endure challenging times that required massive recalls affecting several million of its vehicles. Toyota has relied on its ___ to survive and continue to prosper.

Correct Answer
verified

Describe non-price competition. When might it be used?

Correct Answer
verified
Non-price competition is competition bas...
View Answer

Everything that one receives in an exchange, including all tangible and intangible attributes and expected benefits, is called a

Correct Answer
verified

Demand-based pricing, unlike cost-based pricing, places firms in a better position to

Correct Answer
verified

Correct Answer
verified

Exam 12: Creating and Pricing Products That Satisfy Customers

Manufacturers, wholesalers, and retailers do not use negotiated pricing strategies.

Correct AnswerverifiedShow Answer

What are the major phases involved in the new product development process?

Correct AnswerverifiedThe phases of new-product deve...View AnswerShow Answer

What is brand equity? Describe the major factors that make up brand equity.

Correct AnswerverifiedBrand equity is the marketing and financ...View AnswerShow Answer

A branding strategy in which a firm uses the same brand for all or most of its products is called ____ branding.

Correct AnswerverifiedShow Answer

Which of the following is not a phase in the new product development process?

Correct AnswerverifiedShow Answer

The product life-cycle stage in which there is a rapid sales increase, other firms have begun to market competing products, and lower unit costs and an overall tendency toward increased profit prevail is called

Correct AnswerverifiedShow Answer

Product ideas are transformed into prototypes during which stage of the product development process?

Correct AnswerverifiedShow Answer

Mama Mia restaurant purchased two large ovens for its kitchen. These ovens are an example of which type of business product?

Correct AnswerverifiedShow Answer

The label on a bag of Fritos is not required to describe the

Correct AnswerverifiedShow Answer

Some pricing objectives include surviving, maximizing profit, obtaining market-share goals, and maintaining status quo.

Correct AnswerverifiedShow Answer

Under what circumstances might a firm use survival pricing objectives? How would a firm implement such a strategy?

Correct AnswerverifiedSurvival pricing would be used only when...View AnswerShow Answer

The sum of the fixed costs and the variable costs of producing a certain number of units is called the

Correct AnswerverifiedShow Answer

Which business product classification is most appropriate for the wire used inside a stereo system?

Correct AnswerverifiedShow Answer

In the decline life-cycle stage of a product, less profitable versions of the product are sold at reduced rates to cut losses.

Correct AnswerverifiedShow Answer

The depth of a product mix is a measure of the average number of individual products within each line.

Correct AnswerverifiedShow Answer

Toyota was recently able to endure challenging times that required massive recalls affecting several million of its vehicles. Toyota has relied on its ___ to survive and continue to prosper.

Correct AnswerverifiedShow Answer

Describe non-price competition. When might it be used?

Correct AnswerverifiedNon-price competition is competition bas...View AnswerShow Answer

Everything that one receives in an exchange, including all tangible and intangible attributes and expected benefits, is called a

Correct AnswerverifiedShow Answer

Demand-based pricing, unlike cost-based pricing, places firms in a better position to

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
The phases of new-product deve...
View Answer

Correct Answer
verified
Brand equity is the marketing and financ...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Survival pricing would be used only when...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Non-price competition is competition bas...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified