Test Bank Docx Ch13 Product And Distribution Strategies 340 - Contemporary Business 19e | Practice Test Bank by Louis E. Boone. DOCX document preview.
Package Title: Chapter 13, Testbank
Course Title: Boone, Contemporary Business, 19th Edition
Chapter Number: 13
Question type: Multiple Choice
1) A single brand name such as Johnson & Johnson that is used for the entire line of products is an example of a(n) _____.
a) private label brand
b) family brand
c) convenience product
d) product line
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
2) A(n) _____ is a company that moves goods between producers and consumers or business users.
a) marketing intermediary
b) wholesaler
c) retailer
d) distribution channel
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
3) Coca-Cola, Nike, Google, and American Express are examples of _____.
a) marketing intermediaries
b) brand names
c) family brands
d) product lines
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
4) _____ refers to the stages a product goes through.
a) Marketing intermediary
b) Test marketing
c) Product life cycle
d) Wheel of retailing
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
5) A(n) _____ is a distribution channel that sells primarily to retailers, other wholesalers, or business users.
a) marketing intermediary
b) wholesaler
c) retailer
d) logistics company
Difficulty: Easy
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
6) A(n) _____ introduces a new product to a selected city and is supported with a complete marketing campaign.
a) marketing intermediary
b) test market
c) wholesaler
k) retailer
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
7) _____ are items a consumer seeks to purchase frequently, immediately, and with little effort.
a) Brand insistences
b) Family brands
c) Convenience products
d) Product lines
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
8) A company’s _____ is a group of related products marked by physical similarities or intended for a similar market.
a) brand names
b) family brand
c) convenience products
d) product line
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
9) _____ means the product is the first one that comes to mind when a product category is mentioned.
a) Brand insistence
b) Brand names
c) Family brand
d) Brand awareness
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
10) The process of coordinating the flow of goods, services, and information among members of the supply chain is called _____.
a) marketing intermediary
b) wholesaling
c) wheel of retailing
d) logistics
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
11) In a process called the _____, new retailers enter the market by offering lower prices made possible through reductions in service.
a) marketing
b) test marketing
c) wholesaling
d) wheel of retailing
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
12) _____ is the ultimate degree of brand loyalty, in which the consumer will look for it at another outlet, special-order it from a dealer, order by mail, or search the Internet.
a) Brand insistence
b) Family branding
c) Brand awareness
d) Wheel of retailing
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
13) Which of these describes a bundle of physical, service, and symbolic characteristics designed to satisfy consumer wants?
a) Benefits
b) Product
c) Trademark
d) Logistics
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
14) A marketer’s product strategy focuses on a product’s _____.
a) benefits
b) symbolic attributes
c) service attributes
d) physical characteristics
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
15) Goods and services are classified as either consumer or business, depending on the _____.
a) amount of service required on the item
b) buying motives of the purchasers
c) cost of the particular item
d) purchasers of the particular item as consumers or businesses
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
16) What are consumer products usually classified as?
a) Capital items, convenience items, and specialty products
b) Convenience products, shopping products, and specialty products
c) Convenience products and expense items
d) Expense items and capital items
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
17) Which of the following best describes convenience products?
a) Items a consumer seeks to purchase frequently, immediately, and with little effort
b) Items typically purchased only after the buyer has compared competing products in competing stores
c) Goods that a purchaser is willing to make a special effort to obtain
d) Goods and services such as payroll services and huge multifunction copying machines used in operating an organization
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
18) _______ are products purchased only after the consumer has compared competing products in competing stores on the basis of price, quality, style, and color.
a) Business products
b) Shopping products
c) Specialty products
d) Convenience products
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
19) For which of these products are the number of retail outlets many?
a) Business products and specialty products
b) Shopping products and specialty products
c) Specialty products and unsought products
d) Convenience products and unsought products
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
20) For which of these products is store image unimportant?
a) Business products and specialty products
b) Shopping products and specialty products
c) Specialty products and unsought products
d) Convenience products and unsought products
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
21) Life insurance and burial services are examples of which type of products?
a) Specialty products
b) Shopping products
c) Unsought products
d) Convenience products
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
22) Which type of products have exclusive distribution with very few wholesalers and retailers and one or a few outlets?
a) Specialty products
b) Shopping products
c) Unsought products
d) Convenience products
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
23) Only a few dealers of ABC Corp., an automobile manufacturer, are located in the Los Angeles metropolitan area. For buyers who will accept no substitute, ABC automobiles are _____.
a) specialty products
b) convenience products
c) shopping products
d) business products
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
24) Vickie owns a store that prepares gourmet chocolates, which are hand-made and sold on the premises. What type of product is Vickie selling?
a) Accessory
b) Specialty
c) Shopping
d) Convenience
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
25) Brady wants to replace his old mattress with a new soft-foam mattress and has spent almost a week researching different brands and prices. When he is ready to buy, Brady will be purchasing a(n) _____ product.
a) convenience
b) shopping
c) specialty
d) accessory
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
26) Which of the following classifications of products apply to business goods and services?
a) Supplies and specialty products
b) Specialty products and convenience products
c) Installation and accessory equipment
d) Shopping products and expense items
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
27) A portable drill is classified as which of the following?
a) Accessory equipment
b) Shopping products
c) Specialty products
d) Capital item
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
28) The tires of race cars are classified as _____.
a) supplies
b) specialty products
c) accessory equipment
d) component parts and materials
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
29) When Garden Galore Corp. purchases light bulbs for everyday use, it is purchasing _____.
a) expense items
b) component parts
c) raw materials
d) supplies
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
30) Natural resources, such as iron ore used in producing finished goods, are classified as _____.
a) accessory equipment
b) supplies
c) raw materials
d) component parts and materials
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
31) General Mills products include Betty Crocker, Pillsbury, Haagen-Dazs, Green Giant, Hamburger Helper, and Progresso. These examples constitute General Mills’ _____.
a) distribution strategy
b) product mix
c) product cluster
d) product line
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
32) Cornell Corp. sells a range of products like Panther cellphones, Ober laptops, and Zappa music players. These products represent the _____ of Cornell Corp.
a) product life cycle
b) product line
c) product cluster
d) product mix
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
33) Which of these best describe a group of related products marked by physical similarities or intended for a similar market?
a) Product life cycle
b) Product line
c) Product cluster
d) Product mix
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
34) Which of these best describe the assortment of product lines and individual goods and services that a company offers to consumers and business users?
a) Product life cycle
b) Logistics
c) Product cluster
d) Product mix
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
35) A product line is a group of _____ products marked by physical _____.
a) related; similarities.
b) unrelated; similarities.
c) related; differences.
d) unrelated; differences.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
36) Coke, Diet Coke, Cherry Coke, Coke Zero, and Coke with Lime constitute Coca Cola’s _____ of soft drinks.
a) product mix
b) product life cycle
c) product cluster
d) product line
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
37) BeamAll Corp. manufactures sunscreens with various sun protection factors, which constitutes the company’s _____.
a) product line.
b) product cluster.
c) product life cycle.
d) product mix.
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
38) Tech Toys, an electronic retailer, sells a collection of high-tech gadgets and electronic equipment. This is the company’s _____.
a) product cluster
b) distribution strategy
c) product mix
d) product line
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
39) In a process called the _____, products pass through a series of stages from their initial appearance to their decline.
a) wheel of retailing
b) product identification
c) pricing cycle
d) product life cycle
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
40) Vincent’s car breaks down on the highway. He searches for car towing services on his smart phone and calls one for help. This is an example of a(n) _____.
a) shopping product
b) specialty product
c) convenience product
d) unsought product
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
41) In the ______ stage of the product life cycle, profits generally first appear.
a) decline
b) introductory
c) growth
d) maturity
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
42) In which stage of the product life cycle do competitors enter the field with similar offerings?
a) Introductory stage
b) Decline stage
c) Maturity stage
d) Growth stage
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
43) In which stage of the product life cycle does the company try to promote demand for its new offering; inform the market about it; give free samples to entice consumers to make a trial purchase; and explain its features, uses, and benefits?
a) Introduction stage
b) Decline stage
c) Maturity stage
d) Growth stage
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
44) In which stage of the product life cycle do sales reach a saturation level, making further sales expansion difficult?
a) Maturity stage
b) Growth stage
c) Introductory stage
d) Decline stage
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
45) Kerry has been analyzing the competitive standings of one of her products. Since she began her operation, 20 similar products have appeared, forcing her to change distribution strategies. Kerry has also changed pricing strategies in order to remain competitive. Sales volume has dipped, and she suspects sales of her product have reached a saturation level. This product is in which of the following stages of the product life cycle?
a) Decline stage
b) Growth stage
c) Maturity stage
d) Introductory stage
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
46) E-readers were introduced with great success. Additional companies have entered the market and sales have continued steadily. E-readers are an example of a product in the _____ stage of the product life cycle.
a) growth
b) introduction
c) maturity
d) decline
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
47) Finau Inc. has been involved in intensive price competition with one of its products. Profits are low and market researchers are concerned that losses will soon occur due to a reduced market for the item. This product has reached the _____ stage of the product life cycle.
a) growth
b) introductory
c) maturity
d) decline
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
48) Which of the following is inconsistent with a product in its decline stage?
a) Producers are beginning to leave the industry
b) Prices begin to decline sharply
c) Few changes occur in the product features
d) Promotion activities are kept to a minimum
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Analysis
49) Radhika is developing a new product and is working with specialists from her organization to eliminate ideas that cannot be developed within the company’s resources. Radhika is in what stage of product development?
a) Test marketing
b) Product development
c) Screening
d) Commercialization
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
50) Amber is assessing a new product’s potential sales and competitive strengths and will obtain initial consumer reaction before the product is sold. Amber is in what stage of product development?
a) Commercialization
b) Test marketing
c) Concept development and business analysis
d) Screening
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
51) Alberto works for Kahl Inc, an electronic goods manufacturer, 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. Alberto is working in which stage of new-product development?
a) Test marketing
b) Screening
c) Commercialization
d) Product development
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
52) Which of the following is a reason why some companies skip test marketing?
a) Test marketing can alert competitors about a company’s strategies
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
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
53) While marketing a new wireless phone, Martins Corp. 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) concept development and business analysis
b) test marketing
c) product development
d) screening
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
54) Whytech, which was previously well known for its desktop computers, finds that two of its competitors have withdrawn from the market because of the introduction of affordable laptops in the market. This allows Whytech to garner minor profits. In which of the following stages of the product life cycle is Whytech’s product?
a) The growth stage
b) The maturity stage
c) The introduction stage
d) The decline stage
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
55) A company that is a pioneer in bionics has developed prosthetic limbs that can respond to commands from the brain. They bring in potential recipients in order to make sure that the prostheses are functioning well with different injury types. Which of the following stages of product development does this scenario represent?
a) Focus group testing
b) Concept testing
c) Test marketing
d) Commercialization
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
56) A brand that has been given legal protection is known as a _____.
a) patent
b) copyright
c) trademark
d) royalty
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
57) Which of the following is necessary for a brand name to be effective?
a) It should be ambiguous
b) It should be created with the use of jargon
c) It should be easy to pronounce
d) It should be a generic word
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
58) 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
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
59) Advertising slogans, such as “Just Do It” or “Obey Your Thirst,” are _____ that are given legal protection solely to the brand’s owner.
a) catchphrases
b) registered phrases
c) brand names
d) trademarks
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
60) 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
Difficulty: Medium
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
61) Procter & Gamble markets laundry soap with the brand names of Tide, Cheer, and Dash. Each brand targets a specific market segment. Procter & Gamble is using _____ branding.
a) individual
b) generic
c) family
d) private
Difficulty: Medium
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
62) 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 company
c) Each brand markets to a unique target market
d) When a new product is introduced, consumers and retailers recognize the brand name
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
63) Marco wants a particular brand of golf ball, but his local pro shop does not have it. Instead of buying a substitute, Marco goes home and orders his preferred brand online. Marco is at which stage of brand loyalty?
a) Brand awareness
b) Brand insistence
c) Brand preference
d) Brand recognition
Difficulty: Medium
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
64) Stacy stops at the grocery store to purchase detergent. Tide is her favorite brand, but if another detergent is less expensive, she buys it. This is an example of _____.
a) brand recognition
b) brand preference
c) brand awareness
d) brand insistence
Difficulty: Medium
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
65) 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 less price sensitivity.
a) awareness
b) recognition
c) equity
d) association
Difficulty: Medium
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Aplication
66) Round Pie Inc. (RPI), an international pizza restaurant chain, is the first company that is thought of by most people when the product category of pizzas is mentioned. This instance illustrates RPI’s _____.
a) brand awareness
b) concept testing
c) brand insistence
d) test marketing
Difficulty: Medium
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
67) A(n) _____ is the major supplier designated by a business customer to assume responsibility for dealing with all the other vendors for a project and presenting the entire package to the business buyer.
a) brand manager
b) analyst
c) category advisor
d) associate
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
68) Which of the following is NOT a benefit of using the Universal Product Code (UPC)?
a) It controls inventory
b) It speeds up retail transactions
c) It provides caloric and nutrition information
d) It evaluates customer purchases
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
69) Marcello’s job is to make sure that his company’s goods are transferred from the warehouse to retailers in a timely fashion. Marcello’s job involves the _____ function.
a) distribution
b) production
c) finance
d) management
Difficulty: Medium
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
70) A brand gained immense popularity, and its name passed into common usage. Which of the following is true of this brand name?
a) It is no longer an individual brand
b) It is no longer legally protectable
c) It has now achieved brand insistence
d) It is now a trademark
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
71) A company that sells its products in urban areas of different countries decides to market its products in rural regions of these countries as well. Which of the following changes should be made to the packaging of the product?
a) The color scheme should match the country’s flag
b) The packages should be bigger
c) The labels should be in the local language
d) The product information should be omitted
Difficulty: Medium
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
72) Ugo Corp. buys, stores, and transfers cosmetic goods produced by Haven Inc. and sells them to consumers or business users. This scenario indicates that Ugo is a _____.
a) direct distribution channel
b) category advisor
c) sales office
d) marketing intermediary
Difficulty: Medium
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
73) The use of direct distribution channels is most common in the _____ market.
a) business-to-business (B2B)
b) automobile
c) business-to-consumer (B2C)
d) professional services
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
74) Federico purchased a new PC from Dell Computer’s web site. He purchased his product via a(n) _____.
a) direct distribution channel
b) indirect distribution channel
c) wholesaler
d) retailer.
Difficulty: Medium
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
75) The Pampered Chef sells gourmet cooking supplies to consumers through the use of cooking parties at the homes of its salespeople. The Pampered Chef is a _____ retailer and uses _____.
a) store; direct selling
b) store; direct-response retailing
c) nonstore; direct selling
d) nonstore; direct-response retailing
Difficulty: Medium
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
76) _____ stock the products they distribute and fill orders from their inventories.
a) Merchant wholesalers
b) Manufacturers’ reps
c) Sales offices
d) Sales branches
Difficulty: Easy
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
77) Crafty Covers Inc. (CCI) sells some of its products like cellphone covers, sling bags, and wallets, by storing, displaying, and selling them in gift shops, supermarkets, and drug stores. This implies that CCI is a _____.
a) limited-function merchant wholesaler
b) merchant wholesaler
c) rack jobber
d) drop shipper
Difficulty: Medium
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
78) Nino Warehousing Services stores various types of merchandise in its warehouses but requires third party shipping services to collect and deliver shipments to their destinations. What type of intermediary is Nino Warehousing Services?
a) A limited-function merchant wholesaler
b) A full-function merchant wholesaler
c) A sales office
d) A manufacturers’ agent
Difficulty: Medium
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
79) Stores like Sam’s Club and Costco which sell to members only are an example of a _____.
a) warehouse club
b) discount store
c) supercenter
d) factory outlet
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
80) The first step in developing a competitive retailing strategy is to _____.
a) decide on general product categories
b) decide on the best location
c) identify a target market
d) identify the necessary level of customer service
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
81) Vending machines are an example of _____.
a) direct selling
b) direct-response retailing
c) automatic merchandising
d) indirect selling
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
82) Peapod is an online grocery service that saves customers’ time by selecting, packing, and delivering groceries to customers. Peapod is utilizing a _____ retail strategy.
a) pricing
b) promotional
c) customer service
d) product
Difficulty: Medium
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
83) Which of the following is true of nonstore retailers?
a) They do not provide warranties on their products
b) They compete on the basis of delivery
c) They compete on the basis of the quality of their products
d) They use atmospherics to influence their customers’ perceptions
Difficulty: Medium
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Analysis
84) If a company’s target market is small and buyers are concentrated in a specific geographical area, which distribution channel would be most effective?
a) Direct channel
b) Use of multiple market intermediaries
c) Long distribution channel
d) Producer to wholesaler to retailer to consumer
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
85) Which of the following statements is true of selective distribution?
a) It requires cooperation by many intermediaries, including wholesalers and retailers, to achieve maximum coverage
b) It can reduce total marketing costs and establishes strong working relationships within the channel
c) It can limit market coverage in a specific geographical region
d) It suits relatively expensive specialty products
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
86) Newspapers and magazines use which approach to distribution intensity?
a) Exclusive distribution
b) Scrambled distribution
c) Intensive distribution
d) Selective distribution
Difficulty: Medium
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
87) Intensive distribution is a strategy used by the marketers of which of the following products?
a) Luxury cars
b) Computers
c) Soft drinks
d) Premium watches
Difficulty: Medium
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
88) Exclusive distribution is well suited for _____.
a) luxury automobiles
b) low-priced convenience goods
c) products sold at superstores
d) franchised specialty goods
Difficulty: Medium
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
89) Which of the following approaches limits market coverage in a specific geographical region?
a) Intensive distribution
b) Selective distribution
c) Exclusive distribution
d) Scrambled distribution
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
90) Where does the supply chain begin?
a) Creation of the good or service
b) Delivery of the good or service to a marketing intermediary
c) Producer
d) Delivery of raw materials
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
91) Where does the supply chain end?
a) Producer
b) Wholesaler
c) Customer
d) Physical distribution system
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
92) Sophia’s job is to coordinate the flow of raw materials from suppliers to her company’s various production facilities. Which of the following best describes what Sophia does?
a) Logistics
b) Inventory management
c) Supply chain
d) Physical distribution
Difficulty: Medium
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
93) What method of transportation accounts for the majority of finished goods finding their way to consumers?
a) Air freight
b) Water
c) Railroads
d) Trucks
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
94) Which of the following is a result of the shift in product distribution practices from a single channel approach to a multiple channel approach?
a) Products take longer to reach the customer
b) Retailers store their merchandise in a single location for better accessibility
c) More intermediaries are required for managing stock
d) Customers can choose how they receive a product
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
Question type: True/False
95) A product is a bundle of physical, service, and symbolic characteristics.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
96) One product may be considered a shopping product by one consumer and a convenience product by another consumer.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
97) The appropriate distribution, promotion, and pricing strategies are essentially the same for most business and consumer products.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
98) Paycheck services would be classified as specialty products.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
99) The three categories of business products are convenience goods, shopping goods, and specialty products.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
100) Dembe drives 40 minutes on a road to buy Starbucks coffee even though there is a Dunkin Donuts 10 minutes away from his apartment. In this case, Starbucks coffee is considered a specialty product.
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
101) A new computer server is classified as an expense item.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
102) In a consumer’s mind, the service provider is the service.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
103) A company’s product line is a group of related products marked by similar physical characteristics.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
104) A company’s product mix refers to the same thing as a company’s product line.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
105) Gillette produces several different types of razors. These different types of razors represent Gillette’s product line.
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
106) For Kellogg’s, the company’s product line constitutes the assortment of cereals manufactured under the Kellogg’s name, such as Corn Flakes and Raisin Bran.
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
107) Arm & Hammer is expanding its product line when it branches out from baking soda into laundry detergent and toothpaste.
Difficulty: Medium
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
108) Different products will stay in each stage of the product life cycle for varying amounts of time.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
109) The early stages of a product’s life cycle are generally the most profitable for the company because there is little competition.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
110) A manufacturer of a new moisturizing shampoo offers free samples to all potential consumers. The product is generally in the introductory stage.
Difficulty: True
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
111) Companies, during a product’s maturity stage, concentrate on capturing competitors’ customers, often dropping prices to further the appeal.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
112) During the introductory stage, companies aggressively protect their market share and distinguish their products from those of competitors.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
113) During the growth stage, sales climb quickly as new customers join early users who, depending on the cost and type of item, are now repurchasing.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
114) Sales volume fades late in the Growth stage, and some of the weaker competitors leave the market.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
115) Barnes and Noble started earning 30% more profit a month after their new e-reader hit the shelves. Consumers continuously recommended the new product to friends. The e-reader is in the growth stage.
Difficulty: Medium
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
116) When a product begins to enter the decline stage, promotion activities increase substantially.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
117) Some products can be highly profitable during the later stages of their life cycle because the initial development costs have already been recovered.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
118) Focus groups are sessions in which customers meet with marketers to express their opinions about products.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
119) Some companies will dodge the process of test marketing in order to avoid having their competitors learn of their strategies.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
120) The commercialization stage is also known as the product launch.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
121) Trademark protection extends to design logos, slogans, packaging elements, and product features such as color and shape.
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
122) Product managers, unlike category managers, have profit responsibility for their product group.
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
123) The value from brand equity results from a combination of factors, including awareness, loyalty, and perceived quality, as well as any feelings or images the customer associates with the brand.
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
124) A brand manager or product manager plans and implements the balance of promotional, pricing, distribution, and product arrangements.
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
125) Nicoletta is aware of both Coke and Pepsi, but she buys whichever is on sale. Nicoletta is at the stage of brand recognition but not yet at the stage of brand preference.
Difficulty: Medium
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
126) A consumer who is at the stage of brand insistence will go out of their way to buy a product belonging to that brand, whether it be traveling to a store farther away or making an online purchase.
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
127) Packaging and labeling play a major role in a company’s overall product strategy.
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
128) Physical distribution is the movement of products from producer to user.
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
129) The two major components of an organization’s distribution strategy are direct distribution and the use of marketing intermediaries.
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
130) Consumers are examples of marketing intermediaries.
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
131) An example of marketing intermediaries is wholesalers.
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
132) Marketing intermediaries often create financial burdens for manufacturers.
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
133) Retailers such as Home Depot and Auto Zone are examples of marketing intermediaries.
Difficulty: Medium
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
134) Sales offices often store all inventories.
Difficulty: Easy
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
135) Merchant wholesalers are independently owned and take actual title to the goods they handle.
Difficulty: Easy
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
136) Agents and brokers may take possession of the goods they handle, but they never take title.
Difficulty: Easy
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
137) Wholesalers are primarily owned by manufacturers.
Difficulty: Easy
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
138) Lands’ End and other catalog retailers are classified as nonstore, direct sellers of goods.
Difficulty: Medium
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
139) One advantage of Internet retailing is that adding a large product mix to a Web site is less costly than making room on a store’s shelves.
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
140) Examples of automatic merchandising are Pampered Chef items that are purchased at house parties.
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
141) According to the wheel of retailing, new types of retailers enter the market and gain a competitive foothold by offering superior service.
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
142) Retailers base their pricing decisions on the costs of purchasing products from other channel members.
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
143) A company’s most important consideration in choosing a distribution channel is competition.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
144) To reach a target market with a small number of buyers, a direct distribution channel is often the best choice.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
145) By providing convenient locations with free parking, shopping centers have replaced downtown shopping in many urban areas.
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
146) Complex, expensive products generally require long distribution channels.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
147) Intensive distribution generally suits low-priced convenience goods.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
148) A selective distribution contract requires cooperation by many intermediaries, including wholesalers and retailers, to achieve maximum coverage.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
149) Logistics is the process of coordinating the flow of goods, services, and information among all members of the supply chain.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
150) Physical distribution is a major focus for logistics management.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
151) Transportation by truck is extremely economical.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
152) Transportation by truck is generally less expensive than transportation by water.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
Question type: Essay
153) What is a product? What decisions are included in the marketing conception of a product?
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
154) Compare the classification of consumer goods and services to business goods and services.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
155) Offer examples of each of the following products: convenience, shopping, and business.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
156) Describe the relationship between a company’s product line and product mix.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
157) Explain how services differ from goods.
Difficulty: Easy
Learning Objective 1: 13-01: Explain product strategy and how to classify goods and services.
Section Reference 1: Product Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
158) Outline and describe the major stages of the product life cycle.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
159) Describe the methods used to extend the life cycle of a product.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
160) What are concept testing and focus groups?
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
161) Describe how Francis Sollano is helping to create unique fashion as well as jobs.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Knowledge
162) Explain how the Dollar Shave Club achieved growth despite facing competition from Gillette.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
163) What are the differences among a brand, a brand name, and a trademark?
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
164) Explain why choosing the right package and label is especially crucial in international marketing.
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
165) Describe why the Google Glass flopped.
Difficulty: Easy
Learning Objective 1: 13-02: Briefly describe the four stages of the product life cycle.
Section Reference 1: Product Life Cycle
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
166) Explain the requirements for and the responsibilities of a brand manager.
Difficulty: Easy
Learning Objective 1: 13-03: Discuss product identification.
Section Reference 1: Product Identification
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
167) Discuss the benefits of having marketing intermediaries and provide an example.
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
168) Differentiate between direct distribution channels and distribution channels that involve several different marketing intermediaries. Provide an example of each type.
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
169) Describe how Local Foods helps farmers distribute their produce.
Difficulty: Easy
Learning Objective 1: 13-04: Outline the major components of an effective distribution strategy.
Section Reference 1: Distribution Strategy
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
170) Differentiate between a merchant wholesaler and an agent or broker in terms of title to the goods.
Difficulty: Easy
Learning Objective 1: 13-05: Explain the concept of wholesaling.
Section Reference 1: Wholesaling
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
171) Explain how stores like Best Buy are attempting to handle fraud when accepting returned items from customers.
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
172) How can retailers influence consumer perception using the physical characteristics of their stores?
Difficulty: Easy
Learning Objective 1: 13-06: Describe how to develop a competitive retail strategy.
Section Reference 1: Retailing
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
173) Offer examples of products using the three levels of distribution intensity.
Difficulty: Medium
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Application
174) Describe the supply chain.
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension
175) How is Amazon eliminating the consumer’s trip to the store for household goods?
Difficulty: Easy
Learning Objective 1: 13-07: Identify distribution channel decisions and logistics.
Section Reference 1: Distribution Channel Decisions and Logistics
Standard 1: AACSB || Analytic
Standard 2: Bloom’s || Comprehension