Marketing Management, 15e (Kotler)
Chapter 10 Crafting the Brand Positioning
1) All marketing strategy is built on STP: segmentation, targeting, and ________.
A) positioning
B) product
C) planning
D) promotion
E) performance
2) ________ is the act of designing the company’s offering and image to occupy a distinctive
place in the minds of the target market.
A) Positioning
B) Valuation
C) Pricing
D) Commercialization
E) Launching
3) The goal of positioning is to ________.
A) locate the brand in the minds of consumers to maximize the potential benefit to the firm
B) discover the different needs and groups existing in the marketplace
C) target those customers marketers can satisfy in a superior way
D) collect information about competitors that will directly influence the firms’ strategy
E) help the firm anticipate what the actions of its competitors will be
4) The result of positioning is the successful creation of ________, which provides a cogent
reason why the target market should buy the product.
A) an award-winning promotional campaign
B) a customer-focused value proposition
C) a demand channel
D) everyday low pricing
E) employee value proposition
5) Which of the following best describes a car company’s value proposition?
A) We charge a 20 percent premium on our cars.
B) We target safety-conscious upscale families.
C) We sell the safest, most durable wagon.
D) We are the market leader in the small car category.
E) We focus on expanding in faster-growing markets.
6) Perdue’s cogent reason why a target market should buy its chicken is “More tender golden
chicken at a moderate premium price,” also known as its ________.
A) customer-focused value proposition
B) competitive frame of reference
C) points-of-parity
D) straddle positioning
E) perceptual map
7) Which of the following best describes BR Chicken’s value proposition?
A) We sell chicken at most major malls.
B) We undertake home delivery services.
C) We target quality-conscious consumers of chicken.
D) We sell tender golden chicken at a moderate price.
E) We charge a 10 percent premium on our chicken.
8) The ________ defines which other brands a brand competes with and therefore which brands
should be the focus of competitive analysis.
A) consumer profitability analysis
B) competitor indexing
C) service blueprint
D) competitive frame of reference
E) cluster analysis
9) ________ are defined as companies that satisfy the same customer need.
A) Communities
B) Competitors
C) Trendsetters
D) Industries
E) Task groups
10) A(n) ________ is a group of firms offering a product or class of products that are close
substitutes for one another.
A) community
B) task force
C) industry
D) focus group
E) umbrella brand
11) All marketing strategy is built on segmentation, targeting, and positioning.
12) Positioning is the act of designing the company’s offering and image to occupy a distinctive
place in the minds of the target market.
13) The result of positioning is the successful creation of an employee-focused value proposition.
14) Positioning requires that marketers define and communicate only the differences between
their brand and its competitors.
15) The competitive frame of reference defines which other brands that a brand competes with.
16) What are the requirements for deciding on a positioning strategy?
17) ________ refers to the products or sets of products with which a brand competes and which
function as close substitutes.
A) Consumer profitability analysis
B) Competitive frame of reference
C) Category membership
D) Value membership
E) Demand field
18) When Coca-Cola determines the bottled-water competitors for its Dasani brand by
identifying the products or sets of products with which a brand competes and which function as
close substitutes, it is determining Dasani’s ________.
A) customer-focused value proposition
B) points-of-parity
C) points-of-difference
D) category membership
E) brand mantra
19) When Coca-Cola focused on developing its soft drink business but missed seeing the market
for coffee bars and fresh-fruit-juice bars that eventually impinged on its soft-drink business, it
was suffering from ________ because it defined competition in traditional category and industry
terms.
A) factor elimination
B) marketing myopia
C) factor reduction
D) category points-of-parity
E) reliance on product description
20) Category membership is seen as the products that function as close substitutes of a brand.
21) A company is more likely to be hurt by current competitors than by emerging competitors or
new technologies.
22) The industry concept of competition reveals a broader set of actual and potential competitors
than competition defined in just the market concept.
23) Using the industry approach, competitors are defined as companies that satisfy the same
customer need.
24) To analyze its competitors, a company needs to gather information about both the real and
the perceived strengths and weaknesses of each competitor.
25) With the help of an example, explain why a company’s competition may not be from
companies in the same category.
26) Belling is a chain of coffee shops. List possible competitors first from an industry point of
view and then from the market point of view.
27) Which of the following terms is most closely associated with the statement: “attributes or
benefits consumers strongly associate with a brand, positively evaluate, and believe that they
could not find to the same extent with a competitive brand”?
A) points-of-inflection
B) points-of-difference
C) points-of-parity
D) points-of-value
E) points-of-presence
28) Points-of-________ are product associations that are not necessarily unique to the brand but
may in fact be shared with other brands.
A) parity
B) difference
C) inflection
D) presence
E) divergence
29) The three criteria that determine whether a brand association can truly function as a point-of-
difference are ________.
A) comparability, authenticity, deliverability
B) desirability, peculiarity, deliverability
C) deviance, peculiarity, deformity
D) desirability, deliverability, differentiability
E) differentiability, authenticity, desirability
30) The three criteria that determine whether a brand association can truly function as a point-of-
difference include desirability, ________, and differentiability.
A) discrimination
B) customerization
C) implementation
D) deliverability
E) demand
31) Which of the following criteria relates to consumers seeing the brand association as
personally relevant to them?
A) deliverability
B) authenticity
C) desirability
D) differentiability
E) feasibility
32) Which of the following criteria relates to the company having the internal resources and
commitment to feasibly and profitably create and maintain the brand association in the minds of
consumers?
A) differentiability
B) peculiarity
C) desirability
D) believability
E) deliverability
33) Which of the following criteria relates to consumers seeing the brand association as
distinctive and superior to relevant competitors?
A) desirability
B) differentiability
C) believability
D) deliverability
E) deviance
34) A brand must demonstrate ________, for it to function as a true point-of–difference.
A) clear superiority of an attribute or benefit
B) clear profitability to the company
C) clear similarity to the attributes of other brands
D) technological advances for an attribute or benefit
E) exploitation of competitors’ weakness
35) The two basic forms of points-of-parity are ________ points-of-parity and ________ points-
of-parity.
A) conceptual; competitive
B) strategic; conceptual
C) category; deliverable
D) competitive; peculiar
E) category; competitive
36) ________ are attributes or benefits that consumers view as essential to a legitimate and
credible offering within a certain product or service class.
A) Category points-of-difference
B) Conceptual points-of-parity
C) Competitive points-of-parity
D) Category points-of-parity
E) Competitive points-of-difference
37) Philip Morris bought Miller Brewing and launched low-calorie beer, at a time when
consumers had the impression that low-calorie beer does not taste as good as normal beer. What
does the company assure by stating that the beer tastes good?
A) points-of-difference
B) points-of-presence
C) points-of-parity
D) points-of-conflict
E) points-of-inflection
38) When BMW first made its strong competitive push into the US market in the early 1980s, it
positioned the brand as the only automobile that offered both luxury (competing with Cadillac)
and performance (competing with the Corvette), which is known as ________ because it uses
points-of-difference and points-of-parity across categories.
A) a competitive frame of reference
B) zone of tolerance positioning
C) straddle positioning
D) red-ocean thinking
E) perceptual mapping
39) Philip Morris bought Miller Brewing and launched low-calorie beer, at a time when
consumers had the impression that low-calorie beer does not taste as good as normal beer. What
did the company try to build when they conveyed the fact that the beer contained one third less
calories and hence it is less filling?
A) points-of-difference
B) points-of-conflict
C) points-of-parity
D) points-of-presence
E) points-of-inflection
40) Consumers might not consider a hand sanitizer truly a hand sanitizer unless they are gels
designed to apply topically, contain alcohol that kills the germs present on the skin, and
developed for use after washing hands or for those times when soap and water are not available.
These service elements are considered ________.
A) competitive points-of-difference
B) competitive points-of-parity
C) category points-of-difference
D) category points-of-parity
E) conceptual points-of-parity
41) Nivea became the leader in the skin cream class on the “gentle,” “protective,” and “caring”
platform. The company further moved into classes such as deodorants, shampoos, and cosmetics.
Attributes like gentle and caring were of no value unless consumers believed that its deodorant
was strong enough, its shampoo would cleanse, and its cosmetics would be colorful enough. This
is an example of ________.
A) competitive points-of-parity
B) competitive points-of-difference
C) category points-of-parity
D) category points-of-difference
E) competitive points-of-presence
42) ________ are associations designed to overcome perceived weaknesses of the brand.
A) Conceptual points-of-parity
B) Category points-of-difference
C) Competitive points-of-parity
D) Competitive points-of-difference
E) Category points-of-parity
43) As a marketing manager, which of the following would be the best purpose for your
organization’s competitive points-of-parity?
A) to point out competitors’ points-of-difference
B) to emphasize competitors’ points-of-difference
C) to rationalize competitors’ perceived points-of-difference
D) to globalize competitors’ perceived points-of-difference
E) to negate competitors’ perceived points-of-difference
44) A marketer that wants to anchor a point-of-difference for Dove soap on brand benefits might
emphasize which of the following?
A) The soap is one-quarter cleansing cream.
B) Dove products include bar soaps and shampoos.
C) Dove soap helps users have softer skin.
D) The soap brand has global presence.
E) The brand has recently launched soap for men.
45) Marketers typically focus on brand ________ in choosing the points-of-parity and points-of-
difference
that make up their brand positioning.
A) equity
B) awareness
C) benefits
D) architecture
E) extensions
46) ________ are visual representations of consumer perceptions and preferences.
A) Brand narratives
B) Share of mind variables
C) Perceptual maps
D) Exemplars
E) Points-of-parity
47) Straddle positions ________.
A) help firms to analyze who their competitors are
B) allow brands to expand their market coverage and potential customer base
C) are a necessity while creating a firm’s vision and mission statement
D) assist firms in collecting information on competitors that will directly influence their strategy
E) are ambiguous moral principles behind the operation and regulation of marketing
48) Which of the following statements about brand mantras is true?
A) They guide only major decisions, they have no influence on mundane decisions.
B) Their influence does not extend beyond tactical concerns.
C) They must economically communicate what the brand is and avoid communicating what it is
not.
D) They can provide guidance about what ad campaigns to run and where and how to sell the
brand.
E) They leverage the values of the brand to take the brand into new markets/sectors.
49) American Express’ “World-Class Service, Personal Recognition,” Mary Kay’s “Enriching
women’s lives,” Hallmark’s “Caring Shared,” and Starbucks’ “Rewarding Everyday Moments”
are examples of brand ________.
A) mantras
B) parity
C) identity
D) architecture
E) extension
50) Brand ________ are short, three- to five-word phrases that capture the irrefutable essence or
spirit of the brand positioning and ensure that the company’s own employees understand what the
brand represents.
A) mantras
B) symbols
C) logos
D) alliances
E) extensions
51) A brand ________ is a translation of the brand mantra that attempts to creatively engage
consumers and others external to the company.
A) vision
B) extension
C) architecture
D) slogan
E) alliance
52) BMW’s “The ultimate driving machine,” American Express’ “Don’t leave home without it,”
New York Times’ “All the news that’s fit to print,” and AT&T’s “Reach out and touch someone”
are all examples of brand ________.
A) slogan
B) personality
C) mission
D) architecture
E) vision
53) A brand mantra should be ________.
A) original, ambiguous, and straightforward
B) unique, complex, and inspirational
C) communicative, simple, and inspirational
D) competitive, sensitive, and simple
E) unique, sensitive, and explanatory
54) Brand mantras typically are designed to capture the brand’s points-of-________, that is, what
is unique about the brand.
A) conflict
B) parity
C) inflection
D) difference
E) presence
55) Points-of-parity are important while designing brand mantras for brands facing ________.
A) rapid growth
B) market saturation
C) slow and steady growth
D) rapid decline
E) stability in sales volume
56) For brands in more stable categories where extensions into more distinct categories are less
likely to occur, the brand mantra may focus more exclusively on points-of-________.
A) difference
B) presence
C) inflection
D) parity
E) conflict
57) One common difficulty in creating a strong, competitive brand positioning is that many of
the attributes or benefits that make up the points-of-parity and points-of-difference are
________.
A) negatively correlated
B) always correlated
C) directly proportional
D) never correlated
E) positively correlated
58) ________ is a company’s ability to perform in one or more ways that competitors cannot or
will not match.
A) Brand positioning
B) Market research
C) Competitive advantage
D) Competitor analysis
E) Competitive intelligence
59) A ________ advantage is one that a company can use as a springboard to new advantages.
A) sustainable
B) leverageable
C) realistic
D) rational
E) distinct
60) Which of the following types of differentiation relates to companies having better-trained
personnel who provide superior customer service?
A) channel differentiation
B) services differentiation
C) employee differentiation
D) image differentiation
E) product differentiation
61) Singapore Airlines is well regarded in large part because of the excellence of its flight
attendants. This is an example of ________ differentiation.
A) image
B) services
C) product
D) employee
E) channel
62) Which of the following types of differentiation refers to companies effectively designing
their distribution medium’s coverage, expertise, and performance to make buying the product
easier and more enjoyable and rewarding?
A) services differentiation
B) channel differentiation
C) image differentiation
D) product differentiation
E) employee differentiation
63) Dayton, Ohio-based Iams found success selling premium pet food through regional
veterinarians, breeders, and pet stores. This is an example of ________ differentiation.
A) service
B) employee
C) image
D) product
E) channel
64) Which of the following is an example of channel differentiation?
A) Berry’s has an intensive training program for its customer-facing employees, to ensure a
consistent service standard.
B) The Swan Hotels use a distinctive signature fragrance in all outlets so that customers can
associate the fragrance with the hotel.
C) JEK’s sophisticated customer database allows the company to handle queries and product
returns much faster than competitors.
D) RTZ shifted its products from supermarket aisles to exclusive stores as it realized that
customers were willing to pay more in stores.
E) Hayley’s found success by allowing buyers to customize the color and some features of its
appliances before buying them.
65) Which of the following is an example of image differentiation?
A) Berry’s has an intensive training program for its customer-facing staff, to ensure a consistent
service standard.
B) The Swan Hotels use a distinctive signature fragrance in all outlets so that customers can
associate the fragrance with the hotel.
C) JEK’s sophisticated customer database allows the company to handle queries and product
returns much faster than competitors.
D) RTZ shifted its products from supermarket aisles to exclusive stores as it realized that
customers were willing to pay more in stores.
E) Hayley’s found success by allowing buyers to customize the color and some features of its
appliances before buying them.
66) If Starbucks considers quick-serve restaurants and convenience shops in its competitive
frame of reference, then intended ________ might be quality, image, experience and variety,
while intended ________ might be convenience and value.
A) PODs; POPs
B) POPs; PODs
C) substantiators; image variables
D) design variables; personality variables
E) image variables; personality variables
67) If a brand is developing an offering with multiple frames of reference, which of the
following is NOT advisable?
A) create a combined positioning that addresses all competitors
B) prioritize competitors
C) choose the most important set of competitors to serve as the competitive frame
D) adopt lowest common denominator positioning
E) develop the best possible positioning for each type or class of competitors
68) Subway restaurants are positioned as offering healthy, good-tasting sandwiches. When the
competitive frame of reference is quick-serve restaurants like McDonald’s, what is the POD?
A) health
B) taste
C) convenience
D) price
E) brand