Deck 9: Product Ii: Product Strategy, Branding, and Product Management

Question 1

The most appropriate strategy for a firm that wants consumers to see it as a specialist with a clear, specific position in the market is a(n) ________.

A) full-line product strategy
B) limited-line product strategy
C) undifferentiated product strategy
D) upward product line stretch
E) downward product line stretch

Answer 1

B

Question 2

It is most accurate to say that total quality management firms believe that it is the responsibility of ________ employees to serve the needs of customers.

A) marketing
B) research and development
C) human resource
D) management
E) all

Answer 2

E

Question 3

A firm's ________ is its entire range of products.

A) product line
B) product mix
C) marketing mix
D) promotional mix
E) positioning strategy

Answer 3

B

Question 4

Which of the following helps an organization focus on minimizing any harmful effects it may have on the environment?

A) Six Sigma
B) ISO 9000
C) ISO 14000
D) ISO 27001
E) TQM

Question 5

Which of the following is a management philosophy that focuses on satisfying customers through empowering employees to be an active part of continuous quality improvement of all aspects of the company's operations?

A) cannibalization
B) total quality management (TQM)
C) Six Sigma
D) ISO 9000
E) ISO 14000

Question 6

Which of the following was developed to guarantee that an organization's products conform to the customer's requirements?

A) Six Sigma
B) ISO 9000
C) ISO 14000
D) ISO 22000
E) TQM

Question 7

________ involves a five-step process called DMAIC (define, measure, analyze, improve, and control) designed to improve quality.

A) Total quality management (TQM)
B) Cannibalization
C) ISO 9000
D) ISO 14000
E) Six Sigma

Question 8

A ________ is a firm's total product offering designed to satisfy a group of target customers.

A) brand
B) product line
C) product mix
D) positioning strategy
E) marketing mix

Question 9

One of the four beliefs of the ________ is that co-workers who receive my work are my customers.

A) brand equity process
B) internal customer mind set
C) Six Sigma method
D) ISO 9000 guidelines
E) ISO 14000 guidelines

Question 10

A firm's ________ is determined by the number of separate items within the same category.

A) brand equity
B) product mix width
C) product line length
D) product strategy
E) brand strategy

Question 11

Which of the following is NOT an option for extending a product line?

A) cannibalization
B) downward product line stretch
C) upward product line stretch
D) two-way product line stretch
E) filling-out product strategy

Question 12

When a company begins marketing a new product line in addition to its existing product lines, it has done which of the following?

A) expanded the length of the product line
B) expanded the width of the product mix
C) expanded the depth of the product mix
D) expanded the width of the marketing mix
E) used a contraction strategy

Question 13

An American company wanting to be competitive in the European market would be most likely to seek which type of certification?

A) ISO 14000
B) DMAIC
C) TQM
D) Six Sigma
E) Universal Product Code

Question 14

Which of the following is one of the ways that Berkowitz Piano Company can expand its product line?

A) a product mix strategy
B) a filling-out strategy
C) societal marketing
D) internal marketing
E) line mixing

Question 15

A firm that plans to use a(n) ________ will add higher priced, higher quality items to its product line.

A) upward product line stretch
B) limited-line product strategy
C) undifferentiated product strategy
D) downward product line stretch
E) cannibalization strategy

Question 16

Whenever a product line or a product family is extended, there is a risk of ________, which occurs when sales of an existing brand decline as the firm's current customers switch to the new product.

A) product line contraction
B) disintermediation
C) cannibalization
D) brand dilution
E) brand equity

Question 17

Which of the following refers to a product's overall ability to satisfy customers' expectations?

A) value proposition
B) brand equity
C) product precision
D) brand meaning
E) product quality

Question 18

Which of the following is an accurate statement about product management?

A) It is also known as quality management.
B) It is rarely team-based.
C) It is a continual process.
D) It includes responsibility for the marketing mix tools of product and promotion, but not of price and place.
E) It focuses equally on all aspects of the marketing mix.

Question 19

Which of the following is NOT necessary for a product-related objective to be effective?

A) It should focus primarily on short-term implications.
B) It should be measurable.
C) It should be feasible.
D) It should indicate a specific time frame.
E) It should be clear.

Question 20

An alternative to a two-way stretch is ________, adding more items within the present range of the line.

A) cobranding
B) family branding
C) a mixing strategy
D) a filling-out strategy
E) a contracting strategy

Question 21

A company makes several different kinds of shampoo, but it did not have a dandruff shampoo designed for women until it added Pro-Women antidandruff shampoo. This is an example of a(n) ________.

A) downward product line stretch
B) upward product line stretch
C) cannibalization strategy
D) filling-out product strategy
E) product line contraction

Question 22

Explain cannibalization. How does a line extension strategy increase the risk of cannibalization?

Question 23

When creating product objectives, marketers should consider the long-term implications of product decisions.

Question 24

A company can stretch its product line either upward or downward, but not both directions.

Question 25

Heinz stopped marketing its "Bite Me" brand of frozen pizza snacks due to disappointing sales. This is an example of a ________.

A) filling-out product strategy
B) downward product line stretch
C) product line contraction
D) value stretch
E) cannibalization strategy

Question 26

Mercedes was able to successfully introduce its C-Class car at $30,000 without injuring its ability to sell other Mercedes cars for $100,000 or more. Mercedes implemented a(n) ________.

A) downward product line stretch
B) product line contraction
C) cannibalization strategy
D) upward product line stretch
E) value stretch

Question 27

Total quality management involves all employees, regardless of their function, in continuous quality improvement efforts.

Question 28

A watch manufacturer added a watch to its product line that was higher priced than the models it already carried. The company used a two-way stretch strategy.

Question 29

A stock-keeping unit (SKU) is a unique identifier for each distinct brand.

Question 30

How can marketers use elements of the marketing mix to improve product quality?

Question 31

Which of the following is designed to help a firm almost entirely reduce product and service defects?

A) ISO 14000
B) ISO 27001
C) Six Sigma
D) TQM
E) ISO 22000

Question 32

A company introduced the Funday film to compete with lower-priced brands, but it found many of its regular customers bought Funday instead of its usual, higher-priced film. The company experienced ________.

A) an upward product line stretch
B) a product line contraction
C) brand dilution
D) cannibalization
E) filling in

Question 33

According to the total quality management philosophy, coworkers are internal customers.

Question 34

A winery introduced a brand of wine that is priced twice as high as its other wines. This is an example of product extension by a(n) ________.

A) downward product line stretch
B) product mix
C) cannibalization strategy
D) upward product line stretch
E) two-way product line stretch

Question 35

A company has just one product line: it manufactures only supercomputers. This one product line is also the company's ________.

A) branding strategy
B) marketing mix
C) product mix
D) promotional mix
E) brand equity

Question 36

Active Beverages targets the same people who watch the Gravity Games and enjoy skateboarding, in-line skating, mountain biking, and other extreme sports. It makes high-energy drinks for this target market. It does not attempt to make any drinks that are not targeted to this market. Active Beverages uses a(n) ________.

A) undifferentiated marketing strategy
B) filling-out product strategy
C) cannibalization strategy
D) limited-line product strategy
E) brand extension strategy

Question 37

Why is successful product management increasingly important as technology moves forward and the marketplace becomes more globalized?

Question 38

The Six Sigma process is applied to products but not services.

Question 39

In addition to regular Alka-Seltzer, there is an Alka-Seltzer product for each of the following: cold sufferers, people with upset stomachs, people who can't sleep, people with allergies, and people who have severe headaches. The manufacturer of Alka-Seltzer is using a(n) ________ to reach as many different target markets as possible.

A) full-line product strategy
B) downward product line stretch
C) cannibalization strategy
D) undifferentiated strategy
E) upward product line stretch

Question 40

Practically every brand of soft drink ever made is available at Mom's Soda Shop; regional beverages from around the world can be purchased at the retailer's website. The retailer targets people who have developed a fondness for a particular soft drink and can no longer find it. The retailer's ________ is all types of soft drinks.

A) branding strategy
B) product objective
C) positioning strategy
D) marketing mix
E) product mix

Question 41

________ is the product life cycle period when sales fall off and profits drop.

A) Maturity
B) Decline
C) Development
D) Divestment
E) Leveling

Question 42

The sales peak typically occurs during which stage of the product life cycle?

A) introduction
B) youth
C) development
D) maturity
E) leveling

Question 43

A manufacturer with a product in the decline stage of the product life cycle would most likely decide to ________ if there is reason to believe that there will be a small but continuing demand for the product.

A) maintain the product without change
B) let existing stocks of the product run out
C) drop the product immediately
D) search for replacements
E) increase sales promotion efforts

Question 44

In which stage of the product life cycle would a firm most likely use price reductions and reminder advertising to encourage customers to replace worn-out items?

A) growth
B) youth
C) maturity
D) adoption
E) leveling

Question 45

Recently a company brought a miniature version of its cereal bars to market. The nugget-sized product was very successful because it was not messy. Another company then introduced a similar product under its own brand. Mini-cereal bars are most likely in the ________ stage of their product life cycle.

A) introduction
B) youth
C) growth
D) brand dilution
E) extension

Question 46

There are numerous kinds of shampoo, including vitamin-enriched, fruit-enhanced, color-reviving, therapeutic, and so on. Shampoo that simply promises to clean hair, however, has seen declining sales, has little or no advertising, and has been phased out by most manufacturers. Shampoo that makes no other promise than to clean hair is in the ________ stage of its product life cycle.

A) maturity
B) leveling
C) repositioning
D) withdrawal
E) decline

Question 47

A manufacturer of a product in the decline stage of its product life cycle would be LEAST likely to do which of the following?

A) continue producing the product for loyal users
B) reduce the advertising budget for the product
C) phase out production of the product
D) advertise heavily without changing the product or its target market
E) withdraw most marketing support for the product and rely on e-commerce

Question 48

What is the difference between a product line and a product mix?

Question 49

The marketing goal for a product in the growth stage of its product life cycle is to ________.

A) stabilize profit margins
B) encourage brand loyalty
C) reach peak sales levels
D) compete on the basis of price
E) maintain market share

Question 50

Identify four different possible meanings of product quality.

Question 51

Over the past 100 years or so, Binney and Smith's Crayola crayons have become household staples in more than 80 countries around the world. The company occasionally tinkers with the product's marketing mix to maintain market share. Crayola crayons are in the ________ stage of the product life cycle.

A) growth
B) extension
C) development
D) maturity
E) decline

Question 52

Which stage in the product life cycle is characterized by rapidly increasing sales and increasing profits?

A) introduction
B) youth
C) growth
D) maturity
E) development

Question 53

Kitchen dishcloths are often difficult to rinse clean and typically dry slowly. A company developed a disposable kitchen cloth that rinses easily and dries quickly. Because this is a new product to the market, it can be said to be in the ________ stage of its product life cycle.

A) competitive
B) trial
C) introduction
D) growth
E) youth

Question 54

All of the following are stages in the product life cycle EXCEPT which one?

A) introduction
B) adoption
C) growth
D) maturity
E) decline

Question 55

Which stage in the product life cycle is usually the longest?

A) introduction
B) development
C) growth
D) maturity
E) decline

Question 56

What is the difference between ISO 9000 and ISO 14000?

Question 57

What is the difference between total quality management (TQM) and the Six Sigma process?

Question 58

In which stage of the product life cycle will promotional expenditures be especially high in an attempt to create consumer awareness?

A) product development
B) introduction
C) decline
D) maturity
E) youth

Question 59

The final stage in the product life cycle is ________.

A) maturity
B) decline
C) brand dilution
D) cannibalization
E) equity

Question 60

The product life cycle concept can be applied by marketers as a useful framework for describing how ________.

A) to forecast product performance
B) to develop marketing strategies
C) a market responds to a product over time
D) product ideas are developed
E) a brand gains a dominant position in the market

Question 61

Which of the following most accurately describes a brand extension?

A) a new product that combines the power of two or more brand names
B) a new product sold under an established brand name
C) a new product added to the lower end of a product mix
D) a new product added to the higher end of a product mix
E) a new product line added to a product mix

Question 62

Which of the following is NOT a desirable quality for a brand name?

A) It should suggest something about the product's benefits.
B) It should be easy to pronounce and remember.
C) It should be a long word to get attention.
D) It needs to fit legal requirements.
E) It should make sense in the customer's culture.

Question 63

Which of the following statements about brand equity is NOT true?

A) Brand equity means a brand has customer loyalty.
B) Brand equity refers to the brand's value to an organization.
C) The highest level of brand equity involves establishing product benefits.
D) Brand equity gives a firm the power to capture and hold onto a larger share of the market and to sell at prices with higher profit margins.
E) Brand equity can provide a competitive advantage.

Question 64

Why might ad expenditures remain high in the growth stage of the product life cycle?

Question 65

The concept of ________ encompasses the beliefs and associations that a consumer has about a brand.

A) brand meaning
B) brand storytelling
C) brand equity
D) product quality
E) total quality

Question 66

Which of the following marketing strategies runs the greatest risk of brand dilution?

A) brand extension
B) brand storytelling
C) generic branding
D) ingredient branding
E) sustainable packaging

Question 67

A ________ is a name, term, symbol, or other unique element of a product that identifies one firm's products and sets it apart from the competition.

A) patent
B) brand
C) license
D) position
E) value proposition

Question 68

Each year, the majority of new products that are introduced fail.

Question 69

Which of the following is the symbol in the United States for legal registration of a trademark?

A) ™
B) ®
C) ©
D) ¶
E) №

Question 70

The length of the introduction stage of the product life cycle is typically the same for all products.

Question 71

Why do so many products fail to make it past the introduction stage of the product life cycle?

Question 72

A ________ is the legal term for a brand name, brand mark, or trade character.

A) trademark
B) patent
C) copyright
D) logo
E) corporate mark

Question 73

A good brand name should do all of the following EXCEPT fit ________.

A) the target market
B) the competition
C) the customer's culture
D) the product's benefits
E) legal requirements

Question 74

A buttery spread designed to help lower cholesterol levels is a product with a number of new competitors entering the market. This product is most likely in the introduction stage of its product life cycle.

Question 75

A brand's ________ is a distinctive image that captures the character and benefits of a good or service.

A) meaning
B) anthropomorphism
C) equity
D) extension
E) personality

Question 76

A family brand strategy is also called a(n) ________ strategy.

A) cobranding
B) licensing
C) umbrella brand
D) store brand
E) national brand

Question 77

Each product will have a life cycle, although its exact shape and length is not known in advance. Briefly explain each step in the product life cycle.

Question 78

Why might ad expenditures be high for products in the introductory stage of the product life cycle?

Question 79

Attributing human characteristics to a brand is known as ________.

A) brand meaning
B) brand storytelling
C) brand anthropomorphism
D) brand extension
E) family branding

Question 80

The triangular red Nabisco logo is an example of a ________.

A) patent
B) brand mark
C) trade character
D) brand meaning
E) cobrand