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A Framework for Marketing Management, 5e (Kotler)
Chapter 9 Crafting the Brand Positioning and Competing Effectively
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 ________.
A) to locate the brand in the minds of consumers to maximize the potential benefit to the firm
B) to discover the different needs and groups existing in the marketplace
C) to target those customers marketers can satisfy in a superior way
D) to collect information about competitors that will directly influence the firms' strategy
E) to 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% 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) 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% premium on our chicken.
7) 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
8) ________ 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
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) 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
12) ________ are product associations that are not necessarily unique to the brand but may in
fact be shared with other brands.
A) Points-of-parity
B) Points-of-difference
C) Points-of-inflection
D) Points-of-presence
E) Points-of-divergence
13) 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, and differentiability
E) differentiability, authenticity, desirability
14) 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
15) 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
16) 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
17) The brand must demonstrate ________, for it to function as a true point-of-difference.
A) clear superiority on 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
18) The two basic forms of points-of-parity are ________ and ________.
A) conceptual points-of-parity; competitive points-of-parity
B) strategic points-of-parity; conceptual points-of-parity
C) category points-of-parity; deliverable points-of-parity
D) competitive points-of-parity; peculiar points-of-parity
E) category points-of-parity; competitive points-of-parity
19) ________ 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
20) 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
21) 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
22) 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
23) 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
24) ________ 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
25) 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
26) A marketer that wants to anchor a point-of-difference for Doy soap on brand benefits might
emphasize which of the following?
A) the soap is one-quarter cleansing cream
B) Doy products include bar soaps and shampoos
C) Doy soap helps users have softer skin
D) the soap brand has global presence
E) the brand has recently launched soap for men
27) Subway restaurants are positioned as offering healthy, great-tasting sandwiches. ________
allows the brand to create a point-of-parity (POP) on taste and a point-of-difference (POD) on
health with respect to quick-serve restaurants such as McDonald's and Burger King and, at the
same time, a POP on health and a POD on taste with respect to health food restaurants and cafés.
This is an example of ________.
A) Category-based positioning
B) Need-based positioning
C) Noncomparitive positioning
D) Straddle positioning
E) Price-quality positioning
28) BMW positioned itself as the only automobile that offered both luxury and performance. At
that time, consumers saw U.S. luxury cars as lacking performance. It was able to achieve a point-
of-difference on performance and a point-of-parity on luxury with respect to U.S. luxury cars
like Cadillac. This is an example of ________.
A) straddle positioning
B) category-based positioning
C) need-based positioning
D) noncomparitive positioning
E) price-quality positioning
29) Marketers typically focus on ________ in choosing the points-of-parity and points-of-
difference
that make up their brand positioning.
A) brand equity
B) brand awareness
C) brand benefits
D) brand architecture
E) brand extensions
30) ________ are visual representations of consumer perceptions and preferences.
A) procedural maps
B) brain maps
C) perceptual maps
D) procedural models
E) cognitive maps
31) 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
32) 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.
33) American Express'- "Worldclass Service, Personal Recognition," Mary Kay's - "Enriching
women's lives," Hallmark's- "Caring Shared," and Starbucks'-"Rewarding Everyday Moments"
are examples of ________.
A) brand mantras
B) brand parity
C) brand identity
D) brand architecture
E) brand extension
34) ________ 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) Brand mantras
B) Brand symbols
C) Brand logos
D) Brand alliances
E) Brand extensions
35) 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
36) Tums claims to have the most acid-reducing components of any antacid. In what way is the
brand's category membership being conveyed?
A) comparing to exemplars
B) relying on the product descriptor
C) announcing category benefits
D) focusing on reliability
E) persuasion based on believability
37) The typical approach to positioning is to inform consumers of a brand's category
membership before stating its ________.
A) point-of-parity
B) point-of-difference
C) point-of-conflict
D) point-of-weakness
E) point-of-presence
38) Industrial tools claiming to have durability, and antacids announcing their efficacy convey a
brand's category membership by ________.
A) relying on the product descriptor
B) comparing to exemplars
C) announcing category benefits
D) communicating deliverability variables
E) identifying counter examples
39) A well-known car manufacturing company introduces a new hatchback model by describing
its distinctive features and then stressing the speed and safety qualities of the car. Which of the
following is the company using to convey its membership in the hatchback segment?
A) announcing category benefits
B) comparing to exemplars
C) relying on the product descriptor
D) using channel differentiation
E) maximizing negatively correlated attributes
40) Which of the following ways to conveying a brand's category membership relates to well-
known,
noteworthy brands in a category helping a brand specify its category membership?
A) comparing to exemplars
B) communicating deliverability variables
C) identifying counter examples
D) announcing category benefits
E) relying on the product descriptor
41) SJC is a new retailer that targets the youth market. SJC needs to make an impression using
advertising, and decides to use funny or irreverent ads to get its point across. Each ad features
one of SJC's competitors and conveys an advantage SJC has over that competitor. Which of the
following is the company using to convey its membership in the retail segment?
A) announcing category benefits
B) comparing to exemplars
C) relying on the product descriptor
D) using channel differentiation
E) maximizing negatively correlated attributes
42) When Tommy Hilfiger was an unknown brand, advertising announced his membership as a
great U.S. designer by associating him with Geoffrey Beene, Stanley Blacker, Calvin Klein, and
Perry Ellis, who were recognized members of that category. Tommy Hilfiger conveyed the
brand's category membership by ________.
A) relying on the product descriptor
B) focusing on reliability
C) comparing to exemplars
D) announcing category benefits
E) identifying counter examples
43) Ford Motor Co. invested more than $1 billion on a radical new 2004 model called the X-
Trainer, which combined the attributes of an SUV, a minivan, and a station wagon. To
communicate its unique position—and to avoid association with its Explorer and Country Squire
models—the vehicle, eventually called Freestyle, was designated a "sports wagon." According to
the given scenario, Ford Motor Co. conveyed their brand's category membership by ________.
A) announcing category benefits
B) identifying counter examples
C) relying on the product descriptor
D) focusing on reliability
E) comparing to exemplars
44) 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
45) ________ 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
46) A ________ is one that a company can use as a springboard to new advantages.
A) sustainable advantage
B) leverageable advantage
C) realistic advantage
D) rational advantage
E) distinct advantage
47) 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
48) 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
49) 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) service differentiation
B) channel differentiation
C) image differentiation
D) product differentiation
E) employee differentiation
50) 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
51) 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.
52) 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.
53) Which of the following is an example of services 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.
54) A radio ad by the dairy farmers of Washington State stated that the milk produced in the state
was of higher quality because of the way the farmers treat their cows. They said that the
difference comes from how comfortable they make their cows. Among others, this differentiation
could certainly appeal to animal lovers and those moving toward organic products. This is an
example of ________.
A) personnel differentiation
B) channel differentiation
C) service differentiation
D) product differentiation
E) image differentiation
55) A company which can differentiate itself by designing a better and faster delivery system
that provides more effective and efficient solutions to consumers is most likely using ________
differentiation.
A) services
B) channel
C) image
D) product
E) employee
56) The ________ has the largest market share and usually shows the way to other firms in price
changes, new-product introductions, distribution coverage, and promotional intensity.
A) market challenger
B) market entrant
C) market follower
D) market nicher
E) market leader
57) When the total market expands, the ________ usually gains the most.
A) market challenger
B) market leader
C) market follower
D) market nicher
E) market entrant
58) When a firm looks for new users in groups that might use the product but do not, the firm is
using the ________ strategy.
A) new-market segment
B) market-penetration
C) geographical-expansion
D) product development
E) diversification
59) As the marketing manager of a company that manufactures floor tiles, Evans Smith is given
a target to achieve 500 new customers by the end of summer. He decides to search the market for
probable customers who might use the product but do not at present. Which of the following
strategies is Evans pursuing to increase the market demand for his product?
A) market-penetration strategy
B) new-market segment strategy
C) geographical-expansion strategy
D) needs-assessment strategy
E) consolidation strategy
60) When firms look for new users in groups that have never used the product before, the firm is
using the ________ strategy.
A) new-market segment
B) market-penetration
C) geographical-expansion
D) product development
E) diversification
61) When Starbucks introduced its Tazo Tea line to bring in new customers who had never gone
to Starbucks because they don't drink coffee, Starbucks was employing a ________ strategy.
A) market-penetration
B) new-market segment
C) geographical-expansion
D) niche identification
E) blue-ocean
