Deck 7: Crafting the Brand Positioning and Competing Effectively

Question 1

________ are attributes or benefits that consumers view as essential to a legitimate and credible offering within a certain product or service class.

A) Category points-of-difference
B) Conceptual points-of-parity
C) Competitive points-of-parity
D) Category points-of-parity
E) Competitive points-of-difference

Answer 1

D

Question 2

A brand must demonstrate ________, for it to function as a True point-of-difference.

A) clear superiority of an attribute or benefit
B) clear profitability to the company
C) clear similarity to the attributes of other brands
D) technological advances for an attribute or benefit
E) exploitation of competitors' weakness

Answer 2

A

Question 3

Brand mantras typically are designed to capture the brand's points-of-________.

A) conflict
B) parity
C) inflection
D) difference
E) presence

Answer 3

D

Question 4

Which of the following best describes a car company's value proposition?

A) We charge a 20 percent premium on our cars.
B) We target safety-conscious upscale families.
C) We sell the safest, most durable wagon.
D) We are the market leader in the small car category.
E) We focus on expanding in faster-growing markets.

Question 5

Nivea became the leader in the skin cream class on the "gentle," "protective," and "caring" platform. The company further moved into classes such as deodorants, shampoos, and cosmetics. Attributes like gentle and caring were of no value unless consumers believed that its deodorant was strong enough, its shampoo would cleanse, and its cosmetics would be colorful enough. This is an example of ________.

A) competitive points-of-parity
B) competitive points-of-difference
C) category points-of-parity
D) category points-of-difference
E) competitive points-of-presence

Question 6

Which of the following criteria relates to the company having the internal resources and commitment to feasibly and profitably create and maintain the brand association in the minds of consumers?

A) differentiability
B) peculiarity
C) desirability
D) believability
E) deliverability

Question 7

Perdue's cogent reason why a target market should buy its chicken is "More tender golden chicken at a moderate premium price," also known as its ________.

A) customer-focused value proposition
B) competitive frame of reference
C) points-of-parity
D) straddle positioning
E) perceptual map

Question 8

Points-of-________ are product associations that are not necessarily unique to the brand but may in fact be shared with other brands.

A) parity
B) difference
C) inflection
D) presence
E) divergence

Question 9

The result of positioning is the successful creation of ________, which provides a cogent reason why the target market should buy the product.

A) an award-winning promotional campaign
B) a customer-focused value proposition
C) a demand channel
D) everyday low pricing
E) employee value proposition

Question 10

The three criteria that determine whether a brand association can truly function as a point-of-difference are ________.

A) comparability, authenticity, deliverability
B) desirability, peculiarity, deliverability
C) deviance, peculiarity, deformity
D) desirability, deliverability, differentiability
E) differentiability, authenticity, desirability

Question 11

What are the requirements for deciding on a positioning strategy?

Question 12

Marketers typically focus on brand ________ in choosing the points-of-parity and points-of-difference that make up their brand positioning.

A) equity
B) awareness
C) benefits
D) architecture
E) extensions

Question 13

Which of the following best describes BR Chicken's value proposition?

A) We sell chicken at most major malls.
B) We undertake home delivery services.
C) We target quality-conscious consumers of chicken.
D) We sell tender golden chicken at a moderate price.
E) We charge a 10 percent premium on our chicken.

Question 14

Positioning requires that marketers define and communicate only the differences between their brand and its competitors.

Question 15

Which of the following statements about brand mantras is True?

A) They guide only major decisions; they have no influence on mundane decisions.
B) Their influence does not extend beyond tactical concerns.
C) They must economically communicate what the brand is and avoid communicating what it is not.
D) They can provide guidance about what ad campaigns to run and where and how to sell the brand.
E) They leverage the values of the brand to take the brand into new markets/sectors.

Question 16

Positioning is the act of designing the company's offering and image to occupy a distinctive place in the minds of the target market.

Question 17

Philip Morris bought Miller brewing and launched low-calorie beer, at a time when consumers had the impression that low-calorie beer does not taste as good as normal beer. What did the company try to build when they conveyed the fact that the beer contained one third less calories and hence it is less filling?

A) points-of-difference
B) points-of-conflict
C) points-of-parity
D) points-of-presence
E) points-of-inflection

Question 18

All marketing strategy is built on segmentation, targeting, and ________.

A) positioning
B) product
C) planning
D) promotion
E) performance

Question 19

The result of positioning is the successful creation of an employee-focused value proposition.

Question 20

The goal of positioning is to ________.

A) locate the brand in the minds of consumers to maximize the potential benefit to the firm
B) discover the different needs and groups existing in the marketplace
C) target those customers marketers can satisfy in a superior way
D) collect information about competitors that will directly influence the firms' strategy
E) help the firm anticipate what the actions of its competitors will be

Question 21

An example of communicating category membership by relying on the product descriptor is Ford's positioning of its Freestyle automobile, which combines the attributes of an SUV, a minivan, and a station wagon, as a "sports wagon."

Question 22

With the help of an example, explain straddle positioning.

Question 23

How can a small business create a loyal brand community?

Question 24

Narrative branding is based on deep metaphors that connect to people's memories, associations, and stories.

Question 25

Small businesses should focus on building one or two strong brands based on one or two key associations.

Question 26

Which of the following statements about the branding guidelines for a small business is True?

A) A small business must creatively conduct low-cost marketing research.
B) A small business must avoid leveraging secondary brand associations.
C) A small business must separate the well-integrated brand elements to enhance both brand awareness and brand image.
D) A small business must disintegrate the brand elements to maximize the contribution of each of the three main sets of brand equity drivers.
E) A small business must focus on building more than two strong brands based on a number of associations.

Question 27

With respect to positioning, explain points-of-parity and points-of-difference.

Question 28

Describe three methods by which a brand can communicate category membership.

Question 29

A leverageable advantage is one that a company can use as a springboard to new advantages.

Question 30

Perceptual maps provide quantitative portrayals of market situations and the way consumers view different products, services, and brands along various dimensions.

Question 31

SJC is a new retailer that targets the youth market. SJC needs to make an impression using advertising, and decides to use funny or irreverent ads to get its point across. Each ad features one of SJC's competitors and conveys an advantage SJC has over that competitor. Which of the following is the company using to convey its membership in the retail segment?

A) announcing category benefits
B) comparing to exemplars
C) relying on the product descriptor
D) using channel differentiation
E) maximizing negatively correlated attributes

Question 32

Tums claims to have the most acid-reducing components of any antacid. In what way is the brand's category membership being conveyed?

A) comparing to exemplars
B) relying on the product descriptor
C) announcing category benefits
D) focusing on reliability
E) persuasion based on believability

Question 33

The typical approach to positioning is to inform consumers of a brand's membership before stating its point-of-difference.

Question 34

Randall Ringer and Michael Thibodeau see ________ as based on deep metaphors that connect to people's memories, associations, and stories.

A) cultural branding
B) narrative branding
C) brand journalism
D) emotional branding
E) personal branding

Question 35

Associations that make up points-of-difference are based exclusively on product features.

Question 36

What are the five elements of narrative branding as described by Randall Ringer and Michael Thibodeau?

Question 37

American Girl dolls tap into mother-daughter relationship and the cross-generational transfer of femininity. This is an example of a narrative arc.

Question 38

________ is a company's ability to perform in one or more ways that competitors cannot or will not match.

A) Brand positioning
B) Market research
C) Competitive advantage
D) Competitor analysis
E) Competitive intelligence

Question 39

Points-of-parity may be shared among two or more brands.

Question 40

Name and briefly describe two less-structured alternative approaches to competitive brand positioning.

Question 41

There are three key consumer criteria that determine whether a brand association can truly function as a point-of-difference. When the Westin Stamford hotel in Singapore advertised that it was the world's tallest hotel, it attempted to create a point-of-difference (POD). Discuss whether this attempt to create a POD would be likely to succeed.

Question 42

When Coca-Cola determines the bottled-water competitors for its Dasani brand by identifying the products or sets of products with which a brand competes and which function as close substitutes, it is determining Dasani's ________.

A) customer-focused value proposition
B) points-of-parity
C) points-of-difference
D) category membership
E) brand mantra

Question 43

As a company seeks to establish a category membership designation, how does the company approach points-of-difference? What is typically done first?

Question 44

With the help of an example, explain why a company's competition may not be from companies in the same category.

Question 45

Belling wants to analyze the threats posed by its competitors. Which three variables must it monitor to achieve this?

Question 46

________ refers to the products or sets of products with which a brand competes and which function as close substitutes.

A) Consumer profitability analysis
B) Competitive frame of reference
C) Category membership
D) Value membership
E) Demand field

Question 47

Belling is a chain of coffee shops. Give an example of a category point-of-parity and a competitive point-of-parity for the company.

Question 48

The ________ defines which other brands a brand competes with and therefore which brands should be the focus of competitive analysis.

A) consumer profitability analysis
B) competitor indexing
C) service blueprint
D) competitive frame of reference
E) cluster analysis

Question 49

Belling is a chain of coffee shops. List possible competitors first from an industry point of view and then from the market point of view.

Question 50

Define a brand mantra and provide an example of a brand mantra.

Question 51

Explain three variables a firm should consider when analyzing potential threats posed by competitors.

Question 52

The industry concept of competition reveals a broader set of actual and potential competitors than competition defined in just the market concept.

Question 53

Sally's is a boutique bakery that specializes in cupcakes. Identify one method by which Sally's can conduct low-cost marketing research.

Question 54

A(n) ________ is a group of firms offering a product or class of products that are close substitutes for one another.

A) community
B) task force
C) industry
D) focus group
E) umbrella brand

Question 55

When Coca-Cola focused on developing its soft-drink business but missed seeing the market for coffee bars and fresh-fruit-juice bars that eventually impinged on its soft-drink business, it was suffering from ________ because it defined competition in traditional category and industry terms.

A) factor elimination
B) marketing myopia
C) factor reduction
D) category points-of-parity
E) reliance on product description

Question 56

Category membership is seen as the products that function as close substitutes of a brand.

Question 57

Using the market approach, ________ are defined as companies that satisfy the same customer need.

A) communities
B) competitors
C) trendsetters
D) industries
E) task groups

Question 58

A company is more likely to be hurt by current competitors than by emerging competitors or new technologies.

Question 59

To analyze its competitors, a company needs to gather information about both the real and the perceived strengths and weaknesses of each competitor.

Question 60

The competitive frame of reference defines which other brands that a brand competes with.

Question 61

The nicher achieves high sales volume, whereas the mass marketer achieves high margin.

Question 62

________ defense involves occupying the most desirable market space in the minds of the consumers and making the brand almost impregnable.

A) Position
B) Flank
C) Preemptive
D) Mobile
E) Contraction

Question 63

In his article, "Innovative Imitation," Theodore Levitt argues that ________.

A) imitation is wrong and should be punished
B) product imitation might be as profitable as product innovation
C) innovation is not possible without substantial imitation
D) innovation cannot begin unless dissatisfaction with imitation occurs
E) imitation should be against the law because of the intellectual property decision involved

Question 64

Describe four broad strategies employed by market followers to meet their competitors. Which of these is unethical?

Question 65

Epic Inc., a firm that produces chairs for offices, uses comparative advertising to inform consumers that its products offer the same features and quality as the competitor's. This is an example of a(n) ________ attack.

A) guerilla
B) frontal
C) encirclement
D) bypass
E) flank

Question 66

Which of the following is the most constructive response a market leader can make when defending its market share?

A) maintain basic cost control
B) innovate continuously
C) provide desired benefits
D) meet challengers with a swift response
E) provide expected benefits

Question 67

Pepsodent launched a new product that could whiten teeth, fight decay, and maintain fresh breath. Observing that Pepsodent did not focus on the dental sensitivity aspect, Colgate introduced a toothpaste which did all of the above and also protected sensitive teeth. This is an example of a(n) ________ attack.

A) frontal
B) flank
C) guerrilla
D) encirclement
E) bypass

Question 68

The cost of buying higher market share through acquisition may far exceed its revenue value. Which are the four factors a company should consider before doing so?

Question 69

Compare responsive marketing, anticipative marketing, and creative marketing. Which is the most proactive?

Question 70

A firm that is based in France designs jewelry and takes custom orders from around the world. They design up to 15 pieces of jewelry in a year and ensure that each design uses distinctive stones and is unique. Such nichemanship is an example of ________ specialist role.

A) customer-size
B) product
C) product-feature
D) job-shop
E) quality-price

Question 71

When the total market expands, the market ________ usually gains the most.

A) challenger
B) leader
C) follower
D) nicher
E) entrant

Question 72

An alternative to being a market follower in a large market is to be a leader in a small market. This type of competitor is called a ________.

A) marketing king
B) market nicher
C) segment king
D) guerilla marketer
E) strategic clone

Question 73

A firm that is willing to maintain its market share, and not attack the leader and other competitors in an aggressive bid for further market share, is known as a market ________.

A) challenger
B) leader
C) follower
D) nicher
E) entrant

Question 74

A marketing manager has decided to "leapfrog" the competition by moving into cutting-edge technologies. This indirect approach to attacking competition can be characterized as a(n) ________ attack.

A) flank
B) encirclement
C) bypass
D) guerrilla
E) frontal

Question 75

Among the niche specialist roles, what are end-user, vertical-level, and product-feature specialists?

Question 76

Attacking the market leader proves successful and beneficial only when the leader is not serving the market well.

Question 77

When Starbucks introduced its Tazo Tea line to bring in new customers who had never gone to Starbucks because they don't drink coffee, Starbucks was employing a ________ strategy.

A) market-penetration
B) new-market segment
C) geographical-expansion
D) niche identification
E) blue-ocean

Question 78

The most constructive response to protecting market share is continuous innovation.

Question 79

When food product companies advertise recipes that use their branded products in entirely different ways, they are increasing the ________ consumption of the brand.

A) amount of
B) level of
C) dedication to
D) frequency of
E) awareness

Question 80

If Microsoft announces plans for a new-product development, smaller firms may choose to concentrate their development efforts in other directions to avoid head-to-head competition. In this example, Microsoft is employing a ________ defense strategy.

A) preemptive
B) counteroffensive
C) mobile
D) flank
E) contraction