Question 1

Which of the following are products consumers buy after comparing quality,price,and style from a variety of sellers?

Accepted Answer

A)  shopping goods
B)  specialty goods
C)  convenience goods
D)  unsought goodsE) All of the above
F) A) and D)

Question 2

Knowledge of the product life cycle model can help firms develop marketing strategies and anticipate market changes.

Accepted Answer

A) True 
 B)False

Question 3

The formula for break-even analysis includes which of the following components?

Accepted Answer

A)  depreciation
B)  forecasted sales
C)  forecasted cash requirements
D)  variable cost per unit of outputE) C) and D)
F) B) and C)

Question 4

One of the reasons why companies create the position of brand manager is to:

Accepted Answer

A)  have greater control over new-product development and promotion.
B)  cut expenses associated with the marketing of products.
C)  limit the amount of market research expenses products required.
D)  identify and prosecute firms that violate trademark protection.E) A) and B)
F) A) and C)

Question 5

The purpose of break-even analysis is to determine the lowest price a firm can charge and still be able to cover its costs of production.

Accepted Answer

A) True 
 B)False

Question 6

The marketing efforts for convenience and specialty goods are essentially the same.

Accepted Answer

A) True 
 B)False

Question 7

While the time in each stage may vary,all products progress through each stage of the product life cycle.

Accepted Answer

A) True 
 B)False

Question 8

Sales of cell phones in the United States are still increasing,but the rate of growth has slowed.Sales are expected to peak somewhat soon in the U.S.Based on this information,cellular phones are in what stage of the product life cycle in the U.S.?

Accepted Answer

A)  introduction
B)  growth
C)  maturity
D)  declineE) B) and D)
F) None of the above

Question 9

In marketing today,packaging carries the added responsibility of:

Accepted Answer

A)  promotion and sales.
B)  minimizing product liability.
C)  gaining access to international markets.
D)  keeping product costs down.E) B) and C)
F) A) and D)

Question 10

The Internet allows customers to compare prices of many goods and services.This technology will likely:

Accepted Answer

A)  cause businesses to increase their focus on non-price aspects of their promotional message.
B)  bring about more emphasis on demand-oriented pricing.
C)  diminish in importance as quickly as other fads.
D)  focus government attention on the collusive pricing practices of firms in specific industries.E) A) and B)
F) A) and C)

Question 11

Having completed the first stages of product development of its new low-calorie frozen yogurt breakfast bars,the YaYa Yogurt Company took its product directly to consumers.Marketers partnered with a large theme park in Orlando,FL,to perform ________________.The YaYa marketing department wanted to know if consumers found this product to be a quick way to eat breakfast on the road.Subsequently,they also wanted to determine what customers would be willing to pay for the breakfast bar.

Accepted Answer

A)  commercialization
B)  concept testing
C)  prototyping
D)  product screeningE) All of the above
F) A) and B)

Question 12

Price leadership is a demand based pricing strategy.

Accepted Answer

A) True 
 B)False

Question 13

Restaurants,like other businesses,often find that the best way to succeed in the market is to:

Accepted Answer

A)  listen to customers and adapt products to their needs.
B)  create a product for which he could charge an exceptionally high price.
C)  create a winning combination of advertising and personal selling for all of the stores in the chain.
D)  open more stores in a single year than other foodservice operators.E) A) and D)
F) All of the above

Question 14

In the long run,the price of a product is determined by the cost of production and the length of the firm's supply chain.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following statements about non-price competition is most accurate?

Accepted Answer

A)  While still important,non-price competition is becoming less critical as a result of the Internet.
B)  Marketers often rely on non-price differences in their competitive strategy to enhance a relatively homogeneous product.
C)  Non-price competition is much more important to large firms than it is to small firms.
D)  As microeconomic theory suggests,firms have found that non-price competition plays a secondary role that supplements the more important competition based on price.E) None of the above
F) B) and D)

Question 16

Healthy Pick designed a new type of packaging that significantly improves taste and texture of food when defrosted.Unfortunately,firms seldom find that improvements in packaging impact market share and profits.

Accepted Answer

A) True 
 B)False

Question 17

Accessory equipment consists of capital items that cost less and are shorter lived than installation items.

Accepted Answer

A) True 
 B)False

Question 18

Paper clips,stationery,and other office supplies used by businesses are types of industrial support goods.

Accepted Answer

A) True 
 B)False

Question 19

Gill's Gadgets establishes the price it charges for its products by determining the cost of production and then adding on a desired profit margin.Gill's strategy is known as target costing.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is a potential problem with a high-low pricing strategy?

Accepted Answer

A)  It confuses and frustrates customers.
B)  It places too much emphasis on non-price competition.
C)  It teaches customers to wait for sales,and therefore reduces profits.
D)  It is difficult to implement.E) C) and D)
F) A) and D)

Exam 14: Developing and Pricing Goods and Services

In marketing today,packaging carries the added responsibility of:

Correct Answer
verified

In the long run,the price of a product is determined by the cost of production and the length of the firm's supply chain.

Correct Answer
verified

Which of the following is a potential problem with a high-low pricing strategy?

Correct Answer
verified

Correct Answer
verified

The Internet allows customers to compare prices of many goods and services.This technology will likely:

Correct Answer
verified

The marketing efforts for convenience and specialty goods are essentially the same.

Correct Answer
verified

The formula for break-even analysis includes which of the following components?

Correct Answer
verified

Knowledge of the product life cycle model can help firms develop marketing strategies and anticipate market changes.

Correct Answer
verified

Gill's Gadgets establishes the price it charges for its products by determining the cost of production and then adding on a desired profit margin.Gill's strategy is known as target costing.

Correct Answer
verified

Restaurants,like other businesses,often find that the best way to succeed in the market is to:

Correct Answer
verified

Price leadership is a demand based pricing strategy.

Correct Answer
verified

The purpose of break-even analysis is to determine the lowest price a firm can charge and still be able to cover its costs of production.

Correct Answer
verified

Which of the following are products consumers buy after comparing quality,price,and style from a variety of sellers?

Correct Answer
verified

Sales of cell phones in the United States are still increasing,but the rate of growth has slowed.Sales are expected to peak somewhat soon in the U.S.Based on this information,cellular phones are in what stage of the product life cycle in the U.S.?

Correct Answer
verified

Paper clips,stationery,and other office supplies used by businesses are types of industrial support goods.

Correct Answer
verified

While the time in each stage may vary,all products progress through each stage of the product life cycle.

Correct Answer
verified

Healthy Pick designed a new type of packaging that significantly improves taste and texture of food when defrosted.Unfortunately,firms seldom find that improvements in packaging impact market share and profits.

Correct Answer
verified

Accessory equipment consists of capital items that cost less and are shorter lived than installation items.

Correct Answer
verified

One of the reasons why companies create the position of brand manager is to:

Correct Answer
verified

Which of the following statements about non-price competition is most accurate?

Correct Answer
verified

Exam 14: Developing and Pricing Goods and Services

In marketing today,packaging carries the added responsibility of:

Correct AnswerverifiedShow Answer

In the long run,the price of a product is determined by the cost of production and the length of the firm's supply chain.

Correct AnswerverifiedShow Answer

Which of the following is a potential problem with a high-low pricing strategy?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

The Internet allows customers to compare prices of many goods and services.This technology will likely:

Correct AnswerverifiedShow Answer

The marketing efforts for convenience and specialty goods are essentially the same.

Correct AnswerverifiedShow Answer

The formula for break-even analysis includes which of the following components?

Correct AnswerverifiedShow Answer

Knowledge of the product life cycle model can help firms develop marketing strategies and anticipate market changes.

Correct AnswerverifiedShow Answer

Gill's Gadgets establishes the price it charges for its products by determining the cost of production and then adding on a desired profit margin.Gill's strategy is known as target costing.

Correct AnswerverifiedShow Answer

Restaurants,like other businesses,often find that the best way to succeed in the market is to:

Correct AnswerverifiedShow Answer

Price leadership is a demand based pricing strategy.

Correct AnswerverifiedShow Answer

The purpose of break-even analysis is to determine the lowest price a firm can charge and still be able to cover its costs of production.

Correct AnswerverifiedShow Answer

Which of the following are products consumers buy after comparing quality,price,and style from a variety of sellers?

Correct AnswerverifiedShow Answer

Sales of cell phones in the United States are still increasing,but the rate of growth has slowed.Sales are expected to peak somewhat soon in the U.S.Based on this information,cellular phones are in what stage of the product life cycle in the U.S.?

Correct AnswerverifiedShow Answer

Paper clips,stationery,and other office supplies used by businesses are types of industrial support goods.

Correct AnswerverifiedShow Answer

While the time in each stage may vary,all products progress through each stage of the product life cycle.

Correct AnswerverifiedShow Answer

Healthy Pick designed a new type of packaging that significantly improves taste and texture of food when defrosted.Unfortunately,firms seldom find that improvements in packaging impact market share and profits.

Correct AnswerverifiedShow Answer

Accessory equipment consists of capital items that cost less and are shorter lived than installation items.

Correct AnswerverifiedShow Answer

One of the reasons why companies create the position of brand manager is to:

Correct AnswerverifiedShow Answer

Which of the following statements about non-price competition is most accurate?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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