Question 1

Which stage in the product life cycle is critical to a product's survival because competitive reactions to the product's success during this period will affect the product's life expectancy?
A)Decline
B)Expansion
C)Growth
D)Introduction
E)Stabilization

Accepted Answer

During the growth stage, the product sales increase rapidly, and the product gains acceptance in the market. However, this is also the stage where competitors enter the market and try to capture market share. Competitive reactions to the product's success during this period will affect the product's life expectancy, making it a critical stage for the product's survival. Therefore, the growth stage is the most critical stage for a product's survival.

Question 2

The depth of a product mix is measured by the average number of
A)convenience products as compared with the number of specialty products.
B)different product lines offered by the company.
C)different products offered in each product line.
D)specialty products as compared with the number of convenience products.
E)product features that the company offers.

Accepted Answer

The depth of a product mix refers to the variety of products within a single product line, indicating the number of different products or variations offered.

Question 3

Alana, a product manager, thinks her company's InstaCup coffee maker is currently in the growth stage of the product life cycle. If so, the profits for the InstaCup coffee maker ___ and the number of competitors ____.
A)are negative; is growing
B)have peaked; is growing
C)are declining; is growing
D)have peaked; is declining
E)are declining; is declining

Accepted Answer

In the growth stage of the product life cycle, profits typically peak due to increased sales, while the number of competitors grows as other companies enter the market to capitalize on the high demand.

Question 4

When a business finds itself squeezed out of a market for a product or loses interest in that product, it is a sign of being in the ____ stage of the product life cycle.
A)maturity
B)growth
C)introduction
D)market reduction
E)decline

Accepted Answer

The answer of When a business finds itself squeezed out...

Question 5

During the introduction stage of a successful product, profits are usually
A)at their highest point.
B)negative and decreasing.
C)negative and increasing.
D)positive and increasing.
E)declining.

Accepted Answer

During the introduction stage of a successful product, profits are usually negative due to high initial costs for product development, marketing, and distribution. However, as sales begin to grow, losses start to decrease, indicating that profits are negative but increasing.

Question 6

Grand Resorts Hawaii has just celebrated its first profit since opening two years ago. Grand Resorts Hawaii is most likely in the ____ stage of the product life cycle.
A)maturity
B)growth
C)introduction
D)market testing
E)stability

Accepted Answer

The fact that Grand Resorts Hawaii has just celebrated its first profit after two years of operation suggests that it is in the growth stage of the product life cycle. This is the stage where sales are increasing and the product is starting to establish itself in the market.

Question 7

During the growth stage of the product life cycle, marketers must
A)fortify the product position.
B)move to exclusive distribution.
C)raise the price.
D)increase promotion as a percentage of sales.
E)introduce private brands.

Accepted Answer

During the growth stage of the product life cycle, it's crucial for marketers to fortify the product's position in the market. This involves strategies to enhance the product's image, differentiate it from competitors, and solidify its market presence to ensure continued growth and profitability.

Question 8

Heinz promoting its vinegar as an effective cleaner for wall, glass, kitchen, and bathroom surfaces would most likely be a strategy for the ____ stage of the product life cycle.
A)introduction
B)decline
C)growth
D)maturity
E)competitive

Accepted Answer

Promoting the product as an effective cleaner for various surfaces indicates that the product has already reached the maturity stage in its life cycle. During this stage, companies focus on promoting the product's benefits and finding new uses for it, rather than introducing it or trying to overcome declining sales.

Question 9

During the introduction stage of a successful product,
A)more competitors enter the market, driving prices down and creating the need for heavy promotional expenses.
B)a typical marketing strategy seeks to position the product favorably against aggressive competitors through emphasizing product benefits.
C)the initial product price may have to be high to recoup expensive marketing research or development costs, which can depress sales.
D)competitors emphasize improvements and differences in their versions of the product.
E)advertising messages may focus on differentiating a brand from the field of competitors.

Accepted Answer

During the introduction stage of a successful product, the initial price may indeed be high to recover the costs associated with marketing research or development. This is a common strategy to recoup initial investments, even though it might temporarily depress sales volumes.

Question 10

In which stage of the product life cycle do profits begin to decrease?
A)Introduction
B)Growth
C)Maturity
D)Decline
E)Recovery

Accepted Answer

The answer of In which stage of the product life...

Question 11

Which of the following tactics would typically be employed when a product is in the growth stage of its life cycle?
A)Lowering prices after developmental costs have been recovered
B)Raising promotion expenditures as a percentage of total sales
C)Moving from intensive to selective distribution
D)Raising prices to encourage competitors to enter the market
E)Reducing the number of product models in the product line

Accepted Answer

The answer of Which of the following tactics would typically...

Question 12

One company markets such diverse products as Rosarita Mexican foods, Max Factor cosmetics, and Samsonite luggage. These various offerings exhibit this firm's product mix
A)width.
B)depth.
C)length.
D)volume.
E)dimension.

Accepted Answer

The product mix width refers to the number of different product lines a company offers. In this case, the company offers a wide range of products from different categories (Mexican foods, cosmetics, and luggage), indicating a broad product mix width.

Question 13

Hershey Foods Corp. offers a line of candy that includes Kit Kat, Mr. Goodbar, Krackel, Hershey's Kisses, Reese's Peanut Butter Cups, Rolo, and Twizzlers. These candies best illustrate Hershey's product mix
A)width.
B)depth.
C)length.
D)volume.
E)life cycle.

Accepted Answer

The answer of Hershey Foods Corp. offers a line of...

Question 14

Aggressive pricing is typical during the ____ stage of the product life cycle.
A)decline
B)growth
C)introduction
D)plateau
E)stabilization

Accepted Answer

Aggressive pricing is typically used in the growth stage of the product life cycle to gain market share by being competitive with other products in the market. In the introduction stage, prices may be higher due to the costs of marketing and development. In the decline stage, prices may be reduced to sell remaining inventory, but the focus at that point is typically on phasing out the product rather than aggressive pricing. The plateau and stabilization stages typically involve maintaining prices rather than aggressively pricing.

Question 15

The width of a product mix is measured by the number of product
A)dimensions in the product line.
B)features in each brand.
C)items in the product line.
D)lines a company offers.
E)specialties a company offers.

Accepted Answer

The width of a product mix refers to the number of different product lines a company offers. Each product line can consist of various products, but the width specifically measures how many distinct lines are available.

Question 16

Achieving greater penetration of the market is typically a business goal during the ____ stage of the product life cycle.
A)maturity
B)growth
C)introduction
D)market testing
E)decline

Accepted Answer

During the growth stage of the product life cycle, the product has gained acceptance in the market and sales are increasing rapidly. The goal of the business during this stage is to achieve greater market penetration by attracting new customers and increasing the usage of the product among existing customers.

Question 17

The four major stages of a product life cycle include
A)prosperity, recession, depression, and recovery.
B)specialty, convenience, shopping, and unsought goods.
C)decline, stabilization, exposure, and growth.
D)introduction, growth, maturity, and decline.
E)awareness, interest, trial, and adoption.

Accepted Answer

The four major stages of a product life cycle are introduction, growth, maturity, and decline. During the introduction phase, a new product is launched and marketed to build awareness and generate initial sales. In the growth phase, sales and profits increase as the product becomes more popular and gains market share. During the maturity phase, sales growth slows down as the market becomes saturated, and competition increases. Finally, in the decline phase, sales and profits decrease as the product loses relevance and is eventually phased out.

Question 18

Sales of Schwinn's apartment-sized exercise machine have experienced a steady climb; however, the profits have been negative. The Schwinn exercise machine is most likely in the ____ stage of the product life cycle.
A)decline
B)growth
C)initial
D)maturity
E)introduction

Accepted Answer

The Schwinn exercise machine is most likely in the introduction stage of the product life cycle, as this stage is characterized by increasing sales but often negative profits due to high costs associated with product launch and market entry.

Question 19

Procter & Gamble makes at least eight different laundry detergents. This is most relevant to the issue of
A)width of product mix.
B)product mix consistency.
C)depth of product mix.
D)a market mix.
E)a promotion mix.

Accepted Answer

Depth of product mix refers to the number of variants offered for each product in the product line. Procter & Gamble offering at least eight different laundry detergents shows a deep product mix.

Question 20

During the maturity stage
A)product modifications are unnecessary.
B)there is less emphasis on changing a product's price.
C)marketing strategies are rarely altered.
D)some competitors are forced out.
E)limited advertising expenditures are required to maintain market share.

Accepted Answer

During the maturity stage, some competitors are forced out as the market becomes saturated and customer preferences become more established. This can lead to a reduction in the number of product options available and less intense competition. However, product modifications, pricing adjustments, and marketing strategy alterations may still be necessary to maintain or increase market share. Limited advertising expenditures may be required to maintain market share, but this will depend on the level of competition and brand recognition in the market.

Quiz 10: Product, Branding, and Packaging Concepts

Which stage in the product life cycle is critical to a product's survival because competitive reactions to the product's success during this period will affect the product's life expectancy?

The depth of a product mix is measured by the average number of

Alana, a product manager, thinks her company's InstaCup coffee maker is currently in the growth stage of the product life cycle. If so, the profits for the InstaCup coffee maker _ and the number of competitors __.

When a business finds itself squeezed out of a market for a product or loses interest in that product, it is a sign of being in the ____ stage of the product life cycle.

During the introduction stage of a successful product, profits are usually

Grand Resorts Hawaii has just celebrated its first profit since opening two years ago. Grand Resorts Hawaii is most likely in the ____ stage of the product life cycle.

During the growth stage of the product life cycle, marketers must

Heinz promoting its vinegar as an effective cleaner for wall, glass, kitchen, and bathroom surfaces would most likely be a strategy for the ____ stage of the product life cycle.

During the introduction stage of a successful product,

In which stage of the product life cycle do profits begin to decrease?

Which of the following tactics would typically be employed when a product is in the growth stage of its life cycle?

One company markets such diverse products as Rosarita Mexican foods, Max Factor cosmetics, and Samsonite luggage. These various offerings exhibit this firm's product mix

Hershey Foods Corp. offers a line of candy that includes Kit Kat, Mr. Goodbar, Krackel, Hershey's Kisses, Reese's Peanut Butter Cups, Rolo, and Twizzlers. These candies best illustrate Hershey's product mix

Aggressive pricing is typical during the ____ stage of the product life cycle.

The width of a product mix is measured by the number of product

Achieving greater penetration of the market is typically a business goal during the ____ stage of the product life cycle.

The four major stages of a product life cycle include

Sales of Schwinn's apartment-sized exercise machine have experienced a steady climb; however, the profits have been negative. The Schwinn exercise machine is most likely in the ____ stage of the product life cycle.

Procter & Gamble makes at least eight different laundry detergents. This is most relevant to the issue of

During the maturity stage