184. A product need not be a physical product.
a. True
b. False
185. A service is intangible and is the result of the application of human or mechanical efforts to people or objects.
a. True
b. False
186. Supporting services, such as installation and guarantees, are included in products.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
187. The core product element of the total product can include installation, delivery, training, and financing.
a. True
b. False
188. Theatmosphereanddécorofaretailstore,thevarietyanddepthofproductchoices,thecustomersupport,even
the sounds and smells all contribute to the experiential element of its total product.
a. True
b. False
189. The buyer’s intent can determine whether an item is classified as a consumer or a business product.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
190. Use of the product is the most important means of distinguishing consumer products from business products.
a. True
b. False
191. The two major product categories are business and institutional.
a. True
b. False
192. A product’s classification can influence its price, distribution, and promotion.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
193. Consumers are reluctant to purchase substitute brands if a desired brand of a convenience product is unattainable.
a. True
b. False
194. Per-unit gross margins on convenience products are relatively high.
a. True
b. False
195. The per-unit gross margin percentage on convenience goods is usually fairly high because they are low-priced
items.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
196. Buyers want to exert only minimal effort to obtain shopping products.
a. True
b. False
197. Services, repair works, and prices may be important considerations in a consumer’s decision when purchasing a
particular shopping product.
a. True
b. False
198. Obtaining a specialty product involves a considerable amount of comparison activity.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
199. Accessory equipment becomes a part of the finished product.
a. True
b. False
200. Component parts usually need to be processed significantly before they are used in production.
a. True
b. False
201. Process materials are used directly in the production of products.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
202. “Business Services” is not a category or type of a business product.
a. True
b. False
203. A product line is a particular version of a product that can be designated as a distinct offering on the organization’s
list of products.
a. True
b. False
204. A product line includes a group of closely related product items that are considered to be a unit because of
marketing, technical, or end-use considerations.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
205. Product mix refers to a related group of products in the product line.
a. True
b. False
206. The depth of a product mix is measured by the average number of product types in a product line.
a. True
b. False
207. The width of a product mix refers to the number of generic products offered by a company.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
208. A product mix is the composite or total group of products that an organization makes available to customers.
a. True
b. False
209. Many products never get beyond the introduction stage.
a. True
b. False
210. New products seldom generate enough sales to bring immediate profits.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
211. Price cuts are typical in a product’s growth stage.
a. True
b. False
212. During the growth stage, as sales increase, the promotion costs rise as a percentage of total sales.
a. True
b. False
213. Intensive competition causes price increase during the growth stage of the product life cycle.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
214. As a product gains market acceptance, new distribution outlets become more difficult to secure during the growth
stage of a product’s life cycle.
a. True
b. False
215. Profits decline in the maturity stage, largely because of increased competition.
a. True
b. False
216. A seller’s profits peak in the maturity stage of a product’s life cycle.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
217. The sales curve peaks in a product’s maturity stage.
a. True
b. False
218. As many products are in the maturity stage of the product life cycle, marketers must know how to deal with these
products and be prepared to adjust their marketing strategies.
a. True
b. False
219. Promotion decreases in importance during a product’s decline stage.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
220. Advertising used in the decline stage may prolong the life of the product.
a. True
b. False
221. When an organization introduces a new product, people do not begin the adoption process at the same time, nor do
they move through the process at the same speed.
a. True
b. False
222. Trial is the first stage of the product adoption process.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
223. A buyer becomes aware of the product during the evaluation phase of the product adoption process.
a. True
b. False
224. In the awareness stage of the product adoption process, the buyer seeks information about the product.
a. True
b. False
225. “The people to check with” are the early adopters.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts
226. The first adopters of a product are the innovators.
a. True
b. False
227. Early adopters are the first group of consumers to adopt a new product.
a. True
b. False
228. Laggards are the last to adopt a new product and usually distrust new products.
a. True
b. False
229. A brand name is the part of the brand that is spoken.
a. True
b. False
230. Registration of a brand with the U.S. Patent and Trademark Office provides a firm with worldwide rights to use
that brand for a specified time period.
a. True
b. False
231. Customers use brands to help judge product quality.
a. True
b. False
Chapter 10 – Product, Branding, and Packaging Concepts