Question 1

Procter & Gamble markets laundry soap with the brand names of Tide, Cheer, and Dash. Each brand targets a specific market segment. Procter & Gamble is utilizing ______ branding.
A) private
B) family
C) generic
D) individual

Accepted Answer

Procter & Gamble is using individual branding, where each product has its own unique brand name to target different market segments.

Question 2

Advertising slogans, such as "Just Do It" or "Obey Your Thirst," are ______ that are given legal protection solely to the brand's owner.
A) brand names
B) trademarks
C) registered phrases
D) catchphrases

Accepted Answer

Advertising slogans are legally protected as trademarks, which are proprietary rights belonging solely to the brand owner. They are registered with the government to prevent others from using similar slogans or creating confusion in the marketplace.

Question 3

Deshauna is assessing a new product's potential sales and competitive strengths and will obtain initial consumer reaction before the product is sold. Deshauna is in what stage of product development?
A) screening
B) test marketing
C) commercialization
D) concept development and business analysis

Accepted Answer

The answer of Deshauna is assessing a new product's potential...

Question 4

When Kroger's grocery store puts its own line of detergent on the shelf next to Tide, the store is promoting its ______ brand.
A) individual
B) private
C) manufacturer
D) family

Accepted Answer

Private brands are also known as store brands, and they are owned by the retailer. In this case, Kroger is promoting its own line of detergent as a private brand, positioned next to a well-known brand like Tide.

Question 5

Which of the following is a benefit of family branding?
A) Each product within the line is given a different name.
B) It builds competition within the firm.
C) Each brand markets to a unique target market.
D) When a new product is introduced, consumers and retailers recognize the brand name.

Accepted Answer

Family branding creates brand recognition and awareness for all products within the line. When a new product is introduced, its association with the existing brand name can lead to a quicker acceptance and adoption by consumers and retailers. Choosing different names, markets, and promoting competition are not benefits of family branding.

Question 6

While marketing a new wireless phone, Mobile Media Corporation decided to skip the ______ stage of product development due to the expense of developing a limited production run, as well as concern over revealing product strategies to the competition.
A) screening
B) product development
C) test marketing
D) concept development and business analysis

Accepted Answer

Skipping the test marketing stage involves not introducing the product to the market in a limited production run to gather customer feedback, which can be expensive and can also reveal product strategies to competitors. The other stages of product development (screening, concept development and business analysis, and product development) are necessary steps before test marketing to ensure the product's feasibility and profitability. Therefore, skipping test marketing is the most logical choice in this scenario.

Question 7

Which of the following is NOT a benefit of using Universal Product Codes (UPCs)?
A) Control inventory.
B) Speed up retail transactions.
C) Provide caloric and nutrition information.
D) Evaluate customer purchases.

Accepted Answer

UPCs do not provide caloric and nutrition information. This information is typically provided on the packaging or in accompanying materials, but not encoded within the UPC itself. The other benefits listed, such as inventory control, transaction speed, and customer purchase evaluation, are all advantages of using UPCs in retail settings.

Question 8

American Express is an effective brand name because it ______.
A) is easy to pronounce, recognize, and remember
B) is trademarked
C) accurately describes the product
D) has been around for decades

Accepted Answer

The effectiveness of a brand name is based on its ability to be easily pronounced, recognized, and remembered by consumers. American Express satisfies this criteria, making it an effective brand name. The fact that it has been around for decades may contribute to its familiarity, but it is not the primary factor that makes it effective as a brand name. Trademarking is important for legal protection, but it does not necessarily make a brand name effective. American Express does not accurately describe the product as it is a credit card company rather than a transportation service.

Question 9

Charles works for Whirlpool and is producing a new washer/dryer unit. He is collaborating with the marketing staff to arrange for a series of designs, tests, and functioning prototypes. Charles is working in which stage of new-product development?
A) test marketing
B) screening
C) commercialization
D) product development

Accepted Answer

Charles is working on the product development stage, which involves the creation and testing of prototypes. This stage occurs after the screening stage, where potential ideas are evaluated, and before test marketing and commercialization.

Question 10

Luis wants a particular brand of golf ball, but his local pro shop is out of stock. Instead of buying a substitute, Luis goes home and orders his preferred brand online. Luis is at which stage of brand loyalty?
A) brand awareness
B) brand insistence
C) brand preference
D) brand recognition

Accepted Answer

Luis is exhibiting brand insistence, as he is willing to go out of his way to order his preferred brand instead of settling for a substitute. This indicates a high level of loyalty to the brand.

Question 11

Roberta stops at the grocery store to purchase detergent. Tide is her favourite brand, but if another detergent is less expensive, she buys it. Roberta is at which stage of brand loyalty?
A) brand insistence
B) brand awareness
C) brand preference
D) brand recognition

Accepted Answer

Roberta has a brand preference for Tide, but is open to considering other options if they are less expensive. This indicates that she is at the brand preference stage of loyalty, where she has a preference for a particular brand but is not completely loyal to it and is open to considering alternatives.

Question 12

Dole Food Company uses a(n) ______ brand to market the company's entire line of food products, including canned fruits and packaged salads.
A) family
B) private
C) individual
D) distribution

Accepted Answer

Dole uses a family brand to market its entire line of food products, which allows customers to associate the brand with a wide variety of products. This can help build brand loyalty and increase brand recognition.

Question 13

Which of the following is NOT a feature of the growth stage of a new product?
A) dramatic increase in sales
B) new customers join early users
C) competitors enter the field with alternative products and offers
D) profit declines

Accepted Answer

Profit declining is not a feature of the growth stage of a new product. In fact, during the growth stage, profits typically increase due to higher sales and economies of scale.

Question 14

Mercedes-Benz is an example of a company that benefits from the added value of its successful name. This brand ______ can result in financial gain due to large market shares and decreased price sensitivity.
A) awareness
B) recognition
C) equity
D) association

Accepted Answer

The term "brand equity" refers to the added value that a company derives from having a well-established and well-regarded brand name. This can result in financial gain and decreased price sensitivity, as consumers are often willing to pay a premium for products associated with a popular and respected brand. Therefore, the best choice is C - equity.

Question 15

XYZ over the years has been using a brand name common to all its range of products. This type of branding is categorized as ______.
A) individual branding
B) strategic branding
C) tactical branding
D) family branding

Accepted Answer

Family branding, also known as umbrella branding, is a type of branding in which a company uses a common name for all its products or product lines. In this case, XYZ is using a brand name common to all its range of products, which makes it an example of family branding.

Question 16

Which of the following is NOT a role of packaging and labelling?
A) Control cost.
B) Identify products and communicate usage.
C) Protect the product from damage.
D) Comply with government regulations.

Accepted Answer

While packaging and labeling can affect the cost of a product, their primary roles are to identify products, communicate usage, protect the product, and comply with government regulations. Therefore, A is not a role of packaging and labeling.

Question 17

Customers who choose one brand over another are displaying ______.
A) brand comprehension
B) brand recognition
C) brand insistence
D) brand preference

Accepted Answer

Brand preference refers to the degree to which customers choose one brand over others. This could be due to a variety of factors, including past experiences, marketing efforts, or simply personal preference. Brand comprehension refers to a customer's understanding of what a brand represents, while brand recognition refers to their ability to identify a brand based on visual or other cues. Brand insistence refers to a customer's unwavering commitment to a particular brand, often to the point of refusing to consider any alternatives.

Question 18

Which of the following is a reason why some firms skip test marketing?
A) Test marketing can alert competitors to a company's plans.
B) Test marketing is conducted only in selected regions.
C) Competitors can skew results by lowering prices or running special promotions.
D) Test marketing allows a company to determine the product's performance in full-scale production.

Accepted Answer

Some firms may skip test marketing because it can alert competitors to a company's plans, giving them an opportunity to launch a competing product or adjust their marketing strategies accordingly.

Question 19

ABC Company undertook a market survey and an in-depth review of its financial statement two years after introducing its new mobile hand device. Management realized reduced customer numbers, decreased sales, and loss of product. Which stage of the product life cycle is ABC Company?
A) maturity stage
B) decline stage
C) introductory stage
D) growth stage

Accepted Answer

The reduced customer numbers, decreased sales, and loss of product indicate that ABC Company is in the decline stage of the product life cycle. This typically occurs as the market becomes saturated or as competitors introduce newer and better products.

Question 20

A brand that has been given legal protection is known as a ______.
A) patent
B) copyright
C) trademark
D) royalty

Accepted Answer

A brand that has been given legal protection is known as a trademark. A trademark is a symbol, word, or phrase that identifies a particular product or service and distinguishes it from those of other companies. Having a trademark provides legal protection against others using the same or similar mark in the same industry, helping to prevent confusion among consumers.

Quiz 12: Product and Distribution Strategies

Procter & Gamble markets laundry soap with the brand names of Tide, Cheer, and Dash. Each brand targets a specific market segment. Procter & Gamble is utilizing ______ branding.

Advertising slogans, such as "Just Do It" or "Obey Your Thirst," are ______ that are given legal protection solely to the brand's owner.

Deshauna is assessing a new product's potential sales and competitive strengths and will obtain initial consumer reaction before the product is sold. Deshauna is in what stage of product development?

When Kroger's grocery store puts its own line of detergent on the shelf next to Tide, the store is promoting its ______ brand.

Which of the following is a benefit of family branding?

While marketing a new wireless phone, Mobile Media Corporation decided to skip the ______ stage of product development due to the expense of developing a limited production run, as well as concern over revealing product strategies to the competition.

Which of the following is NOT a benefit of using Universal Product Codes (UPCs) ?

American Express is an effective brand name because it ______.

Charles works for Whirlpool and is producing a new washer/dryer unit. He is collaborating with the marketing staff to arrange for a series of designs, tests, and functioning prototypes. Charles is working in which stage of new-product development?

Luis wants a particular brand of golf ball, but his local pro shop is out of stock. Instead of buying a substitute, Luis goes home and orders his preferred brand online. Luis is at which stage of brand loyalty?

Roberta stops at the grocery store to purchase detergent. Tide is her favourite brand, but if another detergent is less expensive, she buys it. Roberta is at which stage of brand loyalty?

Dole Food Company uses a(n) ______ brand to market the company's entire line of food products, including canned fruits and packaged salads.

Which of the following is NOT a feature of the growth stage of a new product?

Mercedes-Benz is an example of a company that benefits from the added value of its successful name. This brand ______ can result in financial gain due to large market shares and decreased price sensitivity.

XYZ over the years has been using a brand name common to all its range of products. This type of branding is categorized as ______.

Which of the following is NOT a role of packaging and labelling?

Customers who choose one brand over another are displaying ______.

Which of the following is a reason why some firms skip test marketing?

ABC Company undertook a market survey and an in-depth review of its financial statement two years after introducing its new mobile hand device. Management realized reduced customer numbers, decreased sales, and loss of product. Which stage of the product life cycle is ABC Company?

A brand that has been given legal protection is known as a ______.