Question 1

Which of the following is a symptom of product line overextension?

Accepted Answer

Other symptoms include products not contributing to profits,products cannibalizing sales of other items in the line,and products becoming obsolete.

Question 2

Which of the following statements about planned obsolescence is true?

Accepted Answer

Planned obsolescence is the practice of modifying products so that those that have already been sold become obsolete before they actually need replacement,and style modifications are commonly used to motivate customers to replace products before they are worn out.

Question 3

Over the years,Crest has added a variety of different toothpastes to its brand,such as Cavity-Protection Crest,Sensitive-Teeth Protection Crest,Baking Soda Crest,Tartar Protection Crest,and Crest for Kids.These additions are examples of:

Accepted Answer

Product line extension occurs when a firm adds a product to an existing product line to compete more broadly in the industry.

Question 4

When Coca-Cola introduced Coke Zero,this was an example of a _____ strategy.

Accepted Answer

Product line extension is the adding of additional products to an existing product line in order to compete more broadly in the industry.

Question 5

Over the years Cadillac has become to be thought of as "your grandparent's car." The new Cadillac ads showing a beautiful young woman driving a Cadillac along with the statement,"When you turn your car on,does it turn you on?" is an example of marketing designed to help _____ Cadillac as a car for today's younger driver.

Accepted Answer

Repositioning is changing consumers' perceptions about a brand.

Question 6

A _____ is a name,term,symbol,design,or combination thereof that identifies a seller's products and differentiates them from competitors' products.

Accepted Answer

This is the definition of a brand.

Question 7

A regional utility company needs to change consumers' perceptions of its current service as being harmful to the environment.Which of the following strategies would best allow the company to accomplish this goal?

Accepted Answer

Repositioning is a firm's attempt to change customer perceptions of a product.

Question 8

Cover Girl and Revlon are both recognized as leading manufacturers of cosmetics.Both companies have recently introduced cosmetics for the over-50 woman who does not have the same concerns as a 20-year-old.The introductions of these cosmetics are examples of the implementation of a _____ strategy.

Accepted Answer

Product line extension occurs when a firm adds a product to an existing product line to compete more broadly in the industry.

Question 9

A Boston diamond distributor has developed the first branded diamond called Hearts on Fire to help smaller retailers counter the volume jewelers' aggressive price discounting.This move is meant to:

Accepted Answer

This represents one purpose of branding.

Question 10

One of the leading manufacturers of choir robes has added different types of trim and fabric it uses in making the robes.The company has not changed its prices.This is a(n)_____ modification.

Accepted Answer

Style modifications are esthetic changes rather than a quality or functional change.

Question 11

Adding additional products to an existing product line in order to compete more broadly in the industry is referred to as:

Accepted Answer

This describes product line extension.

Question 12

The well-known Nike "swoosh" is an example of a:

Accepted Answer

Well-known symbols for brands are called their brand marks,but these elements cannot be spoken.

Question 13

According to recent market research,Google is one of the most valuable brands in the world.According to this research,the company and its well-known name are worth over $100 billion.This research indicates that Google has high:

Accepted Answer

The term brand equity refers to the tremendous value of company and brand names.

Question 14

At one point Heinz made ketchup in multiple colors including red,green,purple,pink,orange,and teal.While they were popular for a few years,consumers stopped buying the unusual colors and Heinz has dropped back to just making red ketchup.This is an example of the implementation of a _____ strategy.

Accepted Answer

Product line contraction occurs when a company stops making a product.

Question 15

The _____ is the element of a brand that cannot be spoken.

Accepted Answer

Well-known symbols for brands are called their brand marks,but these elements cannot be spoken.

Question 16

Which type of product modification is an aesthetic product change?

Accepted Answer

Style modifications are aesthetic product changes rather than quality or functional changes.

Question 17

The value of company and brand names is referred to as:

Accepted Answer

A brand that has high awareness,perceived quality,and brand loyalty among customers has high brand equity.

Question 18

A style modification is a(n):

Accepted Answer

Style modifications change the aesthetics of a product rather an its quality or functionality.

Question 19

Apple Computer Inc.recently dropped the "Computer" from their name to become Apple Inc.This was a part of the company's _____ away from simply being perceived a computer company.

Accepted Answer

Repositioning involves changing consumers' perceptions of a product.

Question 20

A _____ is the part of the brand that can be spoken.

Accepted Answer

Brand names are the part of the brand that can be spoken,including letters,words,and numbers.

Quiz 10: Product Decisions