Chapter 14 4 Some businesses use nostalgia ads to rekindle the memories and emotions of consumers to an earlier time and place. This technique of linking a brand name to a pleasant memory or favorable image

262. (p. 385) The Pillsbury Doughboy is an example of a:

D. generic label.

263. (p. 386) A street vendor selling Rolex watches at ridiculously low prices approached Ted. Ted, however, was

suspicious that the watches were illegal ________ brands.

D. look alike

264. (p. 385) Sears sells batteries under its own Diehard brand name even though another company actually

produces these batteries. This is an example of a:

A. knockoff brand.

265. (p. 386) Many supermarkets carry plain packages that only identify the name of the product that is inside. For

example, a label may read simply “peaches” or “green beans.” These goods represent:

A. private labels.

266. (p. 385) Certain brand names, such as Kleenex and Xerox, have become _________, because they are so

commonly identified with a specific product category that consumers use these names to refer to any product in

that category regardless of the manufacturer.

D. knockoff names

267. (p. 387) Some businesses use nostalgia ads to rekindle the memories and emotions of consumers to an earlier

time and place. This technique of linking a brand name to a pleasant memory or favorable image is the goal of

brand:

D. preference.

268. (p. 385) Anheuser-Busch Companies, Inc. has been given the exclusive right to the name Budweiser and is

legally protected from others using this name by the __________ they hold.

A. licensing agreement

269. (p. 385) Green Giant Green Beans, Chevy Corvette, Coca Cola, Dole Pineapple, and Peter Pan Peanut Butter

are all examples of:

A. private brands.

270. (p. 385) Federated Grocery Stores operates a large chain of stores across several Midwestern states. While

Federated doesn’t actually produce any canned foods, it markets a line of foods under its own brand name that

were actually produced by another company. Federated canned foods represent a:

A. manufacturers’ brand.

271. (p. 385) An advertisement for the Xerox Corporation encourages customers to say “Copy it” rather than

“Xerox it”. This indicates that Xerox is fearful that its brand name might become a(n):

D. public domain good.

272. (p. 386) Business sponsorship of events, such as the Winston-Salem stock car races or Virginia Slims ladies

tennis tournament, is intended to increase:

D. the availability of knockoff brands.

273. (p. 387) Using a sports or movie celebrity as a spokesperson for your product is an attempt to build

favorable:

274. (p. 388) A leading cause of new-product failure is:

D. excessive product differentiation.

275. (p. 388, figure 14.3) Which of the following is considered a stage of the new-product development process?

A. automation

276. (p. 389) __________ presents an idea for a new product to potential customers to test their reactions.

D. Prototype development

277. (p. 389) ___________ is the stage of new product development that involves promoting a product to

distributors, and developing advertising and sales campaigns in order to generate and maintain consumer

interest.

D. Merchandising

278. (p. 387) A ________ has direct responsibility for all the elements of the marketing mix for one brand or

product line.

D. brand specialist

279. (p. 387) One reason many large consumer-product companies make use of __________ is to have greater

control over new-product development and product promotion.

A. brand equity teams

280. (p. 388) The greatest source of ideas for new products is:

A. consumer suggestions.

281. (p. 388) Product screening is designed to:

D. move production to low wage countries.

282. (p. 388) Which of the following is a relevant criterion for the product screening process?

A. sales forecasts for the product

283. (p. 387) One of the reasons why companies create the position of brand manager is to:

D. identify and prosecute firms that violate trademark protection.

284. (p. 387) The job performed by brand managers:

D. focuses more on the pricing and promotion of established goods than on the development of new products.

285. (p. 389) “If you create a better mouse trap, the world will beat a path to your door.” This statement ignores the

need for which step in the new-product development process?

D. development

286. (p. 388) As a brand manager, Ellen has proposed an aggressive advertising campaign that exaggerates the

benefits of their newest product. While Ellen is convinced that this strategy will encourage consumers to try the

product, her assistant strongly opposes the idea. Which of the following presents the best explanation for the

assistant’s opposition to Ellen’s proposal?

A. If a firm produces a quality product, the best advertising is word-of-mouth to generate excitement for a new

product.

287. (p. 388) Kathy works as a manager at Fantastic Fabricators. The innovative staff at the company is regularly

encouraged to suggest ideas for new products. Since Cathy works in product screening, she:

D. develops the concept testing to establish the personnel required for each new project.

288. (p. 381, Reaching Beyond Our Borders box) According to the “Reaching Beyond Our Borders” box in Chapter 14, which

of the following statements describes the activities of Unilever Corporation?

A. By investing in a quick and responsive product development department, Unilever has achieved success in

289. (p. 387) SneezeNoMore markets a group of similar products for people suffering from the common cold. The

products in this line are sold under the brand name SneezeNoMore. The products differ mainly in the strength

of the dosage and in whether they also contain additional medications to help the consumer sleep. As an

employee of SneezeNoMore, Jill is responsible for the marketing mix for the company’s products. She is also

involved in any major decisions concerning the development of new products that will be included in this

product line. Jill serves as a(n):

D. product line specialist.

290. (p. 387) As a manager at Excitement Foods, Mark is responsible for the firm’s Kool’nKreamy brand of ice

cream. Recently, he approved a proposal to test market new ice cream flavors. He is also considering the

possibility of lowering the price of the ice cream and initiating a new advertising campaign. Mark appears to be

a(n):

A. product development manger.

291. (p. 389) The ____________ is a theoretical model that describes the sales and profit performance of a product

class over time.

D. commercialization time line

292. (p. 389) The product life cycle consists of __________ stages.

D. 6

293. (p. 389) The stages of the product life cycle are:

A. production, inventory, exchange, usage, and disposal.

294. (p. 389) The four-stage theoretical model that describes the evolution of a product from birth to death is

referred to as the:

A. growth-share matrix.

295. (p. 390, figure 14.4) According to the product life cycle model, sales are expected to peak in the _________

stage.

D. commercialization

296. (p. 390, figure 14.4) According to the product life cycle model, profits tend to:

A. remain relatively constant until the decline stage, when they begin to drop.

297. (p. 390, figure 14.4) The product life cycle model helps marketers realize that:

D. careful product screening will increase profits over the life of a product.

298. (p. 389) Which of the following is a stage in the product life cycle?

D. acceptance

299. (p. 390) As a product progresses through each stage of the product life cycle, successful marketers recognize

that each stage requires:

D. more emphasis on personal selling.

300. (p. 389) When reviewing the product life cycle model, it is important to remember that:

D. companies earn their largest profits in the introduction stage.

301. (p. 391) Once a good or service nears the end of its product life cycle, the firm recognizes that:

D. marketing dollars spent now will provide little benefit.

302. (p. 391, figure 14.6) Which stage of the product life cycle is characterized by rapidly rising sales, very high profit

D. decline

303. (p. 391, figure 14.6) Which of the following is expected during the maturity stage of a product life cycle?

A. a rapid increase in profits

304. (p. 391, figure 14.6) Which of the following is consistent with the introduction stage of the product life cycle?

A. decreasing sales volume

305. (p. 391, figure 14.6) During the ________ stage of the product life cycle sales reach a peak, profits are declining,

and the number of competitors starts to decrease.

D. decline

306. (p. 391, figure 14.6) Which of the following is consistent with the growth stage of the product life cycle?

D. declining profits

307. (p. 391, figure 14.6) Which of the following is a characteristic of the decline stage of the product life cycle?

D. increasing profits

308. (p. 390, figure 14.4) Currently, which of the following products would most likely be considered in the growth

stage of the product life cycle?

A. VCRs

309. (p. 390, figure 14.4) Sales of cellular phones are still increasing, but the rate of growth has slowed. Sales are

expected to peak later this year. Based on this information, cellular phones are in what stage of the product life

cycle?

A. introduction

310. (p. 390-391; figure 14.6) Sales levels of Armstrong mountain bikes are rising rapidly, profits are very high, and a

growing number of competitors are taking aim at Armstrong’s market lead. Based on this information,

Armstrong mountain bikes are in which stage of the product life cycle?

D. decline

311. (p. 391, figure 14.5) Dewy, Cheatem, and Howe’s promotional efforts are intended to increase the public’s

awareness of its new product’s benefits and uses. This effort is consistent with the ________ stage of the

product life cycle model.

D. decline

312. (p. 392) Which of the following is a popular pricing objective?

D. achieving less market share

313. (p. 392) Pricing is:

D. totally based on the cost of products.

314. (p. 392) Supermarkets and discount stores often advertise products at prices at or below their cost to attract

people to the store. These products represent:

A. market leaders.

315. (p. 393) Producers often use ________ as a primary basis for setting prices on the goods and services they

offer the public.

D. quotas

316. (p. 393) __________involves designing a product so that it satisfies customers and meets the profit margins

desired by the firm.

A. Price discrimination