Question 1

Hillary has a new product idea that aligns well with her company's current organizational resources. She puts together a presentation for potential buyers and requests feedback on their reactions and suggestions. Hillary is

Accepted Answer

A)  screening.
B)  generating product ideas.
C)  test marketing.
D)  conducting a business analysis.
E)  concept testing.F) B) and C)
G) C) and E)

Question 2

Click It, Inc.
Travis is a salesperson for Click It, Inc. Click It does not sell products with its own brand nam
However, because Click It had been concerned about dropping sales, management listened to Travis's concerns about the company's pricing. He suggested using a different pricing strategy. More specifically, he felt that the company should incorporate a multiple-unit pricing strategy because it would then allow Click It to set a single price for multiple units. This had the potential of increasing sales and therefore profits, so management agreed to consider Travis's suggestion.
-Refer to Click It, Inc. Because Click It sells its products under different brand names, each product is a

Accepted Answer

A)  manufacturer brand.
B)  private brand.
C)  producer brand.
D)  generic brand.
E)  no name brand.F) A) and E)
G) B) and C)

Question 3

Brand names such as Tide, Surf, Biz, and Wisk are effective names because they

Accepted Answer

A)  suggest special characteristics and benefits of the product.
B)  are easy for customers to say, spell, and recall.
C)  are generic terms for detergent.
D)  indicate the products' uses.
E)  blend with competing brand names.F) A) and B)
G) A) and C)

Question 4

In which order do the stages of the product life-cycle occur?

Accepted Answer

A)  Growth, introduction, maturity, decline
B)  Introduction, maturity, slowdown, decline
C)  Innovation, distribution, maturity, decline
D)  Introduction, growth, maturity, decline
E)  Introduction, growth, slowdown, declineF) C) and E)
G) A) and B)

Question 5

​Lang Industries is introducing a new product and will use price skimming to set the price. Price skimming is

Accepted Answer

A)  ​the strategy of charging the highest possible price for a product during the introduction stage of its life-cycle.
B)  ​a way for the seller to secretly pocket extra money charged for a product but not recorded on the company books.
C)  ​raising prices above a fair price.
D)  ​a means of increasing competition in order to raise prices even higher.E) A) and C)
F) None of the above

Question 6

The stage in the evolution of new products in which the product is launched into full-scale manufacturing and marketing is called

Accepted Answer

A)  test marketing.
B)  business analysis.
C)  screening.
D)  product development.
E)  commercialization.F) A) and E)
G) B) and D)

Question 7

In some cases, prices are assigned to goods on the basis of nothing more than customs and traditions.

Accepted Answer

A) True 
 B)False

Question 8

Price serves the function of ____ for goods, services, and financial resources.

Accepted Answer

A)  distributor
B)  determining factor
C)  screener
D)  quantifier
E)  allocatorF) A) and B)
G) None of the above

Question 9

A company's product mix usually must be changed to stay competitive.

Accepted Answer

A) True 
 B)False

Question 10

When Duracell came out with a new battery that significantly outlasted the company's earlier product, the battery had undergone a(n)  ____ modification.

Accepted Answer

A)  functional
B)  feature
C)  quality
D)  aesthetic
E)  marketF) A) and B)
G) B) and C)

Question 11

The strategy of setting prices at uneven amounts that are slightly below an even or whole number of dollars is called

Accepted Answer

A)  penetration pricing.
B)  price skimming.
C)  sample pricing.
D)  introductory pricing.
E)  odd-number pricing.F) C) and D)
G) None of the above

Question 12

The marketing challenge of making potential customers aware of the product's existence and its features, benefits, and uses is prevalent in which of the product life-cycle stages?

Accepted Answer

A)  Introduction
B)  Maturity
C)  Extension
D)  Decline
E)  GrowthF) A) and D)
G) A) and E)

Question 13

A product usually declines because of technological advances or environmental factors or because

Accepted Answer

A)  the item is very popular.
B)  the price is too low.
C)  consumers have switched to competing brands.
D)  the price is too high.
E)  no ads or sales incentives have been used.F) A) and D)
G) A) and E)

Question 14

The temporary reduction of prices on a patterned or systematic basis is called

Accepted Answer

A)  random discounting.
B)  negotiated pricing.
C)  periodic discounting.
D)  secondary-market discounting.
E)  comparison discounting.F) B) and D)
G) B) and C)

Question 15

Consumers would most likely treat candy bars as ____ products.

Accepted Answer

A)  business
B)  shopping
C)  specialty
D)  convenience
E)  householdF) A) and B)
G) B) and E)

Question 16

In spite of the rigorous process for developing product ideas, the majority of new products

Accepted Answer

A)  require several months to gain market share.
B)  yield high returns on R&D costs.
C)  require several years to gain market share.
D)  are copied by competitors.
E)  end up as failures.F) C) and E)
G) A) and D)

Question 17

Ties 'R' Us sells a variety of ties at many different prices. Often customers are confused about the pricing and have a hard time making a buying decision. Ties 'R' Us should use what type of pricing strategy?

Accepted Answer

A)  Odd pricing
B)  Price lining
C)  Captive pricing
D)  Multiple-unit pricing
E)  Geographic pricingF) A) and B)
G) B) and C)

Question 18

Martin always chooses Colgate toothpaste at his local drug store. However, when the store occasionally runs out of Colgate, he will purchase Crest or Mentadent. What level of brand loyalty does Martin have to Colgate?

Accepted Answer

A)  Awareness
B)  Insistence
C)  Preference
D)  Resistance
E)  PartialityF) C) and D)
G) A) and B)

Question 19

When a company changes one or more of a product's characteristics to manage its product mix, it is engaging in ____ modification.

Accepted Answer

A)  quality
B)  functional
C)  aesthetic
D)  product
E)  marketF) D) and E)
G) B) and D)

Question 20

Consumer products can be divided into the following three categories:

Accepted Answer

A)  convenience, shopping, and business.
B)  shopping, convenience, and specialty.
C)  convenience, component, and accessory.
D)  shopping, component, and specialty.
E)  business, specialty, and shopping.F) A) and B)
G) A) and C)

Exam 12: Creating and Pricing Products That Satisfy Customers

Correct Answer
verified

When a company changes one or more of a product's characteristics to manage its product mix, it is engaging in ____ modification.

Correct Answer
verified

A product usually declines because of technological advances or environmental factors or because

Correct Answer
verified

The strategy of setting prices at uneven amounts that are slightly below an even or whole number of dollars is called

Correct Answer
verified

The marketing challenge of making potential customers aware of the product's existence and its features, benefits, and uses is prevalent in which of the product life-cycle stages?

Correct Answer
verified

In which order do the stages of the product life-cycle occur?

Correct Answer
verified

Martin always chooses Colgate toothpaste at his local drug store. However, when the store occasionally runs out of Colgate, he will purchase Crest or Mentadent. What level of brand loyalty does Martin have to Colgate?

Correct Answer
verified

The stage in the evolution of new products in which the product is launched into full-scale manufacturing and marketing is called

Correct Answer
verified

Consumer products can be divided into the following three categories:

Correct Answer
verified

Lang Industries is introducing a new product and will use price skimming to set the price. Price skimming is

Correct Answer
verified

Price serves the function of ____ for goods, services, and financial resources.

Correct Answer
verified

A company's product mix usually must be changed to stay competitive.

Correct Answer
verified

In some cases, prices are assigned to goods on the basis of nothing more than customs and traditions.

Correct Answer
verified

Hillary has a new product idea that aligns well with her company's current organizational resources. She puts together a presentation for potential buyers and requests feedback on their reactions and suggestions. Hillary is

Correct Answer
verified

The temporary reduction of prices on a patterned or systematic basis is called

Correct Answer
verified

Brand names such as Tide, Surf, Biz, and Wisk are effective names because they

Correct Answer
verified

When Duracell came out with a new battery that significantly outlasted the company's earlier product, the battery had undergone a(n) ____ modification.

Correct Answer
verified

Ties 'R' Us sells a variety of ties at many different prices. Often customers are confused about the pricing and have a hard time making a buying decision. Ties 'R' Us should use what type of pricing strategy?

Correct Answer
verified

In spite of the rigorous process for developing product ideas, the majority of new products

Correct Answer
verified

Consumers would most likely treat candy bars as ____ products.

Correct Answer
verified

Exam 12: Creating and Pricing Products That Satisfy Customers

Correct AnswerverifiedShow Answer

When a company changes one or more of a product's characteristics to manage its product mix, it is engaging in ____ modification.

Correct AnswerverifiedShow Answer

A product usually declines because of technological advances or environmental factors or because

Correct AnswerverifiedShow Answer

The strategy of setting prices at uneven amounts that are slightly below an even or whole number of dollars is called

Correct AnswerverifiedShow Answer

The marketing challenge of making potential customers aware of the product's existence and its features, benefits, and uses is prevalent in which of the product life-cycle stages?

Correct AnswerverifiedShow Answer

In which order do the stages of the product life-cycle occur?

Correct AnswerverifiedShow Answer

Martin always chooses Colgate toothpaste at his local drug store. However, when the store occasionally runs out of Colgate, he will purchase Crest or Mentadent. What level of brand loyalty does Martin have to Colgate?

Correct AnswerverifiedShow Answer

The stage in the evolution of new products in which the product is launched into full-scale manufacturing and marketing is called

Correct AnswerverifiedShow Answer

Consumer products can be divided into the following three categories:

Correct AnswerverifiedShow Answer

​Lang Industries is introducing a new product and will use price skimming to set the price. Price skimming is

Correct AnswerverifiedShow Answer

Price serves the function of ____ for goods, services, and financial resources.

Correct AnswerverifiedShow Answer

A company's product mix usually must be changed to stay competitive.

Correct AnswerverifiedShow Answer

In some cases, prices are assigned to goods on the basis of nothing more than customs and traditions.

Correct AnswerverifiedShow Answer

Hillary has a new product idea that aligns well with her company's current organizational resources. She puts together a presentation for potential buyers and requests feedback on their reactions and suggestions. Hillary is

Correct AnswerverifiedShow Answer

The temporary reduction of prices on a patterned or systematic basis is called

Correct AnswerverifiedShow Answer

Brand names such as Tide, Surf, Biz, and Wisk are effective names because they

Correct AnswerverifiedShow Answer

When Duracell came out with a new battery that significantly outlasted the company's earlier product, the battery had undergone a(n) ____ modification.

Correct AnswerverifiedShow Answer

Ties 'R' Us sells a variety of ties at many different prices. Often customers are confused about the pricing and have a hard time making a buying decision. Ties 'R' Us should use what type of pricing strategy?

Correct AnswerverifiedShow Answer

In spite of the rigorous process for developing product ideas, the majority of new products

Correct AnswerverifiedShow Answer

Consumers would most likely treat candy bars as ____ products.

Correct AnswerverifiedShow 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

Correct Answer
verified

Lang Industries is introducing a new product and will use price skimming to set the price. Price skimming is

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified