Question 1

A brand manager in a multiproduct firm would be responsible for
A)performance of a specific brand.
B)all brands within a product line.
C)branding the products of the firm.
D)all products in the brand-line group.
E)all brands made by the firm.

Accepted Answer

A brand manager in a multiproduct firm would be responsible for the performance of a specific brand. They would be responsible for developing and implementing strategies to increase sales and improve the brand's reputation. They would also work with other departments within the firm, such as marketing and sales, to ensure that the brand is properly promoted and supported. They would not be responsible for all brands within a product line or all brands made by the firm, as each brand would have its own manager.

Question 2

When a theater entices customers to see movies during the daytime by offering tickets at a reduced price, it is trying to solve the services marketing problem of
A)inseparability.
B)intangibility.
C)customer contact.
D)off-peak demand.
E)heterogeneity.

Accepted Answer

Offering tickets at a reduced price during the daytime is a strategy to address the services marketing problem of off-peak demand. By incentivizing customers to come during slower times, the theater can make better use of its resources and improve profitability.

Question 3

Flo, the spokesperson in Progressive Insurance TV commercials, is used to symbolize friendliness, reliability, and knowledge of the company's products. The part Flo plays in the promotion is designed to address the ____ characteristic of services.
A)intangibility
B)perishability
C)heterogeneity
D)inseparability
E)customer service

Accepted Answer

Flo's role in Progressive Insurance commercials is to personify the brand and make the intangible nature of insurance services more relatable and understandable to consumers. Insurance, like other services, cannot be seen, touched, or felt before purchase, making it intangible. Flo helps bridge this gap by symbolizing the brand's attributes.

Question 4

By installing automated check-in kiosks in some airports, airlines have increased production capacity and reduced the number of personnel. This results in a decrease in
A)perishability.
B)intangibility.
C)customer contact.
D)inseparability.
E)customer service.

Accepted Answer

By installing automated check-in kiosks, airlines are reducing the number of personnel that customers have contact with during the check-in process, which decreases customer contact.

Question 5

The following organizational approaches accomplish tasks necessary to develop and manage products: product manager approach, and the ____ approach.
A)brand manager
B)functional team
C)multiproduct manager
D)special projects
E)venture team

Accepted Answer

The answer of The following organizational approaches accomplish tasks necessary...

Question 6

Symbols such as the Travelers' Financial Services umbrella are designed to help customers overcome the ____ of services.
A)heterogeneity
B)unpredictability
C)inseparability
D)intangibility
E)perishability

Accepted Answer

Symbols like the Travelers' Financial Services umbrella are used to help customers overcome the intangibility of services, making them more relatable and understandable by providing a visual or tangible representation.

Question 7

Meghara Roberts is an accountant at General Mills. However, she is currently working with a group to determine the feasibility of a new brand of hot breakfast cereal. After the product is launched, Meghara will return to the accounting department. Her present position can be described as a
A)product manager.
B)brand manager.
C)consulting team member.
D)member of a venture team.
E)market account manager.

Accepted Answer

Meghara Roberts is working temporarily with a group to assess a new product's feasibility before returning to her regular role, which aligns with the responsibilities of a member of a venture team. Venture teams are typically formed for new projects or product development, fitting her situation.

Question 8

If Tiara O'Neal were given total marketing responsibility over Diet Cherry Coke, she would hold the position of ____ manager.
A)product
B)sales
C)marketing
D)advertising
E)brand

Accepted Answer

Tiara O'Neal would hold the position of Brand Manager because she would be responsible for marketing and promoting Diet Cherry Coke as a brand, which includes advertising, product development, sales, and overall marketing strategy. The brand manager's primary responsibility is to enhance the brand's image and increase its market share, which aligns with O'Neal's tasks for Diet Cherry Coke.

Question 9

A ____ is responsible for a product, product line, or several distinct products in an interrelated group within an organization.
A)product marketer
B)brand manager
C)market manager
D)product manager
E)line manager

Accepted Answer

A product manager is responsible for overseeing the development and marketing of a specific product or group of products within an organization. They are responsible for making sure the product meets the needs of customers, is competitive in the market, and is profitable for the company. The other options are not as specific to product management responsibilities.

Question 10

Production and consumption of services must simultaneously occur due to the ____ characteristic of services.
A)intangibility
B)heterogeneity
C)customer contact
D)perishability
E)inseparability

Accepted Answer

The inseparability characteristic of services means that the production and consumption of services must occur simultaneously because the customer is often involved in the service delivery process. This is unlike goods which can be produced and sold separately from the consumption process. Therefore, option E is the best choice.

Question 11

The members of a venture team come from
A)the marketing department.
B)a consulting firm.
C)the research and development department.
D)the production and finance departments.
E)different functional areas of an organization.

Accepted Answer

It is common for venture teams to consist of members from different functional areas within an organization, such as marketing, research and development, production, and finance. This allows for a diverse range of skills and expertise to be brought to the team and increases the chances of success for the venture. Some venture teams may also include individuals from external consulting firms or other organizations.

Question 12

Any service provider that offers time-sensitive services receives most of its revenue during
A)peak demand.
B)heavy use time.
C)the off-season.
D)preferred demand.
E)customer contact time.

Accepted Answer

Time-sensitive services are usually demanded during peak periods when customers require services within a specific time frame. This means that service providers receive the majority of their revenue during peak demand.

Question 13

Compared to goods marketers, services providers are more likely to promote performance documentation, availability, guarantees, and
A)distribution.
B)tangible elements.
C)management expectations.
D)price.
E)customer expectations.

Accepted Answer

The answer of Compared to goods marketers, services providers are...

Question 14

Your company makes personal hygiene products for young men. Your product line includes deodorants and shaving products. You are responsible for managing the company's relationships with the major retailers in the western U.S. region. In a recent meeting with a store manager, you noticed young men selecting the company's deodorant product, then moving down the aisle to select a competitor's body wash product. As you think about it more, it makes perfect sense that a young man buying deodorant would also be interested in a body wash product. Your company currently does not make a body wash product. Based on your in-store observations, which of the following product management actions would you recommend to take advantage of this deodorant and body wash linkage?
A)A line extension
B)A quality modification
C)A functional modification
D)An aesthetic modification
E)New packaging

Accepted Answer

A line extension would be the best choice to take advantage of the deodorant and body wash linkage. By creating a body wash product that complements the deodorant, the company can increase sales and offer a more complete personal hygiene solution for young men. Quality, functional, and aesthetic modifications, as well as new packaging, may improve the existing deodorant product but are unlikely to address the need for a complementary body wash product.

Question 15

Which of the following service providers are most likely to use demand-based pricing?
A)Dentists
B)Lawyers
C)Doctors
D)Hair stylists
E)Cruise ships

Accepted Answer

Cruise ships are more likely to use demand-based pricing as they adjust their prices based on demand for their services (i.e. higher prices during peak season and lower prices during off-peak season). The other service providers generally have fixed prices for their services.

Question 16

Back to Basics Auto Insurance advertises "minimum coverage for minimum budgets" for its automobile insurance. Which of the following best describes Back to Basic's approach?
A)Customers often use price as an indicator of quality, and Back to Basics wants to be seen as a low-quality provider.
B)This type of advertising makes insurance more tangible to the customer.
C)Back to Basics wants to reassure customers that they provide the highest level of service quality available.
D)Because market conditions limit prices on auto insurance, Back to Basics uses this approach to gain customers.
E)For some services, customers look for the low-cost provider, which is what Back to Basics claims to be.

Accepted Answer

Back to Basics Auto Insurance is advertising itself as a low-cost provider of automobile insurance, which appeals to customers who are looking for minimum coverage for minimum budgets. This aligns with the approach of providing low-cost services to customers who prioritize cost over quality.

Question 17

Some services are time sensitive, meaning that a significant number of customers desire the service around the same time. This point in time is called
A)peak demand.
B)preferred demand.
C)off-peak demand.
D)high-contact time.
E)high intensity time.

Accepted Answer

Peak demand refers to a point in time when a large number of customers desire a particular service. It is often challenging for service providers to manage peak demand and ensure customer satisfaction during these times.

Question 18

Just Relax Massage Therapists have a large customer base although they do very little advertising. Their promotion strategy relies mostly on
A)news stories.
B)a webpage.
C)word of mouth.
D)newspaper ads.
E)television ads.

Accepted Answer

Just Relax Massage Therapists have a large customer base because of their satisfied customers who recommend their services to others, also known as word of mouth promotion. This type of promotion is more powerful than traditional advertising methods like newspaper or television ads because it comes from a trusted source - a friend or family member who has had a positive experience with the company. Additionally, a webpage can also be helpful in showcasing their services and providing information for potential customers, but it is not the main factor in their success. News stories or newspaper ads may be helpful in raising awareness, but they are not the primary promotion strategy for the company.

Question 19

A US Airways flight from Dallas to Houston was full, and the tickets were more expensive than the almost-empty US Airways flight from Chicago to Phoenix. This is an example of what kind of service pricing?
A)Bundled
B)Demand-based
C)Supply-based
D)Upfront
E)Customer-based

Accepted Answer

This is an example of demand-based pricing, where the price is adjusted based on the demand for the service. The full flight from Dallas to Houston indicates high demand, leading to higher prices, whereas the almost-empty flight from Chicago to Phoenix suggests lower demand, which typically results in lower prices.

Question 20

Demand-based pricing most closely relates to the ____ of services.
A)perishability
B)intangibility
C)heterogeneity
D)customer contact aspect
E)inseparability

Accepted Answer

Demand-based pricing is when the price of a service is determined by its demand in the market. Since services are perishable, meaning they cannot be stored for later use, the provider must adjust the price based on the demand to make the most profit. This is because if demand is high, the provider can charge a higher price, and if demand is low, the provider may need to lower the price to attract customers.

Quiz 11: Developing and Managing Goods and Services

A brand manager in a multiproduct firm would be responsible for

When a theater entices customers to see movies during the daytime by offering tickets at a reduced price, it is trying to solve the services marketing problem of

Flo, the spokesperson in Progressive Insurance TV commercials, is used to symbolize friendliness, reliability, and knowledge of the company's products. The part Flo plays in the promotion is designed to address the ____ characteristic of services.

By installing automated check-in kiosks in some airports, airlines have increased production capacity and reduced the number of personnel. This results in a decrease in

The following organizational approaches accomplish tasks necessary to develop and manage products: product manager approach, and the ____ approach.

Symbols such as the Travelers' Financial Services umbrella are designed to help customers overcome the ____ of services.

Meghara Roberts is an accountant at General Mills. However, she is currently working with a group to determine the feasibility of a new brand of hot breakfast cereal. After the product is launched, Meghara will return to the accounting department. Her present position can be described as a

If Tiara O'Neal were given total marketing responsibility over Diet Cherry Coke, she would hold the position of ____ manager.

A ____ is responsible for a product, product line, or several distinct products in an interrelated group within an organization.

Production and consumption of services must simultaneously occur due to the ____ characteristic of services.

The members of a venture team come from

Any service provider that offers time-sensitive services receives most of its revenue during

Compared to goods marketers, services providers are more likely to promote performance documentation, availability, guarantees, and

Which of the following service providers are most likely to use demand-based pricing?

Back to Basics Auto Insurance advertises "minimum coverage for minimum budgets" for its automobile insurance. Which of the following best describes Back to Basic's approach?

Some services are time sensitive, meaning that a significant number of customers desire the service around the same time. This point in time is called

Just Relax Massage Therapists have a large customer base although they do very little advertising. Their promotion strategy relies mostly on

A US Airways flight from Dallas to Houston was full, and the tickets were more expensive than the almost-empty US Airways flight from Chicago to Phoenix. This is an example of what kind of service pricing?

Demand-based pricing most closely relates to the ____ of services.