Question 1

__________is the bar code read by optical scanners that print the name of the item and the price on a receipt.&#10;A) A universal product code&#10;B) A category advisor&#10;C) Radio-frequency identification&#10;D) A trademark

Accepted Answer

A universal product code (UPC) is the bar code read by optical scanners that print the name of the item and the price on a receipt. A trademark is a symbol, name, or design used to identify a company or product. Radio-frequency identification (RFID) is a technology that uses electromagnetic fields to automatically identify and track tags attached to objects. A category advisor is a consultant who provides guidance and advice to retailers on product categories.

Question 2

Which one of the following statements concerning marketing intermediaries is INCORRECT?&#10;A) Adding intermediaries to the distribution process increases the final cost of products.&#10;B) Intermediaries often add significant value to a product as it moves through the distribution channel.&#10;C) Marketing utility is created when intermediaries help ensure that products are available for sale when and where customers want to purchase them.&#10;D) A marketing intermediary reduces the number of necessary transactions.

Accepted Answer

While marketing intermediaries do add a cost to the distribution process, they can also help reduce overall costs by streamlining the distribution process and providing value-added services such as storage, transportation, and marketing support. Therefore, adding intermediaries does not necessarily increase the final cost of products.

Question 3

Rolex watches are sold using which level of distribution intensity?&#10;A) Intensive&#10;B) Selective&#10;C) Reduced&#10;D) Exclusive

Accepted Answer

Rolex watches are sold through a restricted number of high-end jewelers and boutiques in order to maintain an exclusive brand image. This distribution strategy is known as exclusive distribution.

Question 4

Target and Wal-Mart are examples of which type of retail store?&#10;A) Specialty store&#10;B) Discount store&#10;C) Department store&#10;D) Warehouse club

Accepted Answer

Target and Wal-Mart are both discount stores, offering lower prices on a wide variety of products compared to department or specialty stores.

Question 5

That stage of the product lifecycle characterized by an increased availability of the product due to increasing strength of the competition and a saturated level of sales with further expansion difficult is the:

A) Introduction stage
B) Growth stage
C) Maturity stage
D) Decline stage

Accepted Answer

The description given in the question specifically matches the characteristics of the maturity stage of the product lifecycle. As the competition increases and the market gets saturated, it becomes difficult to expand sales, and the product reaches a stable point. Therefore, option C, maturity stage, is the best choice.

Question 6

Which one of the following is a manufacturer-owned wholesaling intermediary:&#10;A) Rack jobber&#10;B) Drop shipper&#10;C) Agent&#10;D) Sales office

Accepted Answer

A sales office is owned and operated by the manufacturer, and serves as a wholesaling intermediary between the manufacturer and retailers. A rack jobber is an independent wholesaler who leases space in a retailer's store to display and sell products, a drop shipper arranges for products to be shipped directly from the manufacturer to the retailer or customer without physically handling the products themselves, and an agent serves as a representative for a manufacturer or supplier and earns a commission on sales.

Question 7

____________introduces a new product supported by a complete marketing campaign to a selected city or TV coverage area.&#10;A) Concept testing&#10;B) Business analysis&#10;C) Test marketing&#10;D) Idea screening

Accepted Answer

Test marketing involves introducing a new product to a limited geographic area or a segment of the target audience to evaluate the product's potential success before investing in a full-scale launch. It is supported by a complete marketing campaign to measure the product's acceptance and assess the marketing mix. Concept testing evaluates the consumer response to a product idea in the early stages of product development. Business analysis determines a product's feasibility and profitability potential. Idea screening is the initial step in evaluating new product ideas.

Question 8

Which one of the following statements best differentiates consumer products from business products?&#10;A) Consumer products are classified based on how consumers buy them whereas business products are classified by how they are used.&#10;B) Consumers never purchase business products.&#10;C) Business sellers would never sell business products to consumers.&#10;D) Business products are intended to be used in specialized areas of organizations, and not in operating an entire organization.

Accepted Answer

Consumer products are classified based on how consumers buy them, such as convenience products, shopping products, and specialty products, whereas business products are classified by how they are used, such as installations, accessories, raw materials, and components. This differentiation is based on the nature of the buying process, not the type of buyer. Consumers can also purchase business products, and business sellers can sell products to consumers. Option B and C are incorrect as they are not true in general, and option D is incorrect as business products can be used in operating an entire organization.

Question 9

Which one of the following is NOT a strategy for extending the lifecycle of a product?&#10;A) Increase customers' frequency of use.&#10;B) Add new users.&#10;C) Find new uses for the produc.t&#10;D) Restrict the overall supply of the product to make it appear rare and more appealing to those who already use it.

Accepted Answer

Restricting the overall supply of the product to make it appear rare and more appealing to those who already use it may create artificial scarcity and drive existing customers away. It is not a successful strategy for extending the lifecycle of a product in the long run.

Question 10

Coca-Cola, McDonald's, American Express, Google, and Nike are examples of:&#10;A) Brand marks.&#10;B) Brand names.&#10;C) Private brands.&#10;D) Trademarks.

Accepted Answer

These are all examples of brand names, which are the names given to products or services to distinguish them from others in the market.

Question 11

A group of related products marked by physical similarities or intended for a similar market is called?&#10;A) Product development&#10;B) Product mix&#10;C) Idea development&#10;D) Product line

Accepted Answer

The answer of A group of related products marked by...

Question 12

A product with which the consumer is already familiar and for which he or she is willing to make a special effort to obtain is referred to as a:&#10;A) Shopping product&#10;B) Specialty product&#10;C) Convenience product&#10;D) Business product

Accepted Answer

The answer of A product with which the consumer is...

Question 13

A single brand name used for several related products is referred to as a:&#10;A) Family brand&#10;B) Private brand&#10;C) Manufacturer's brand&#10;D) National brand

Accepted Answer

The answer of A single brand name used for several...

Question 14

Sears's Craftsman tools and Wal-Mart's Ol' Roy dog food are examples of which brand category listed below?&#10;A) Private brand&#10;B) Family brand&#10;C) Individual branding&#10;D) Generic brand

Accepted Answer

The answer of Sears's Craftsman tools and Wal-Mart's Ol' Roy...

Question 15

Which one of the following statements concerning the difference between services and goods is INCORRECT?&#10;A) Services are intangible or immaterial.&#10;B) Services are perishable.&#10;C) Services are never standardized.&#10;D) The service provider is the service.

Accepted Answer

The answer of Which one of the following statements concerning...

Deck 12: Product and Distribution Strategies