Scenario 11.1
Use the scenario to answer the questions.
Cheetos Fat-free Crunchies is a product developed through continuous innovation.
Cheetos engineered a technique for making low-fat snacks that taste delicious and also
remain fresh for a longer duration. It introduced Fat-free Crunchies in limited markets
in 2012 and began nationwide distribution in 2013.
About 18 months later, a series of ads by Cheetos’ competitors was aired to
counterclaim that Cheetos Crunchies actually contained 1.5 grams of fat along with
some percentage of preservatives and additives. Research showed that Cheetos
Crunchies was not well-received by certain groups of customers. To retain its consumer
base, Cheetos reduced the remaining fat of Chrunchies to 0 grams, took out the
preservatives, and improved the taste.
Refer to Scenario 11.1. Cheetos produces several cheese-based snacks and is keen on
developing a new brand of crackers. This new Cheetos product would most likely be an
example of a(n):
a. brand extension.
b. line extension.
c. quality modification.
d. functional extension.
e. aesthetic modification.
The final step in the target market selection process is:
a. implementing the appropriate marketing mix for the target market.
b. evaluating relative market segments.
c. eliminating market segments that are cost prohibitive.
d. selecting specific target markets.
e. revising the final segmentation variables based on target selection.
Which of the following types of retailing began with Montgomery Ward in the late
1800s?
a. Catalog marketing
b. Department stores
c. Direct selling
d. Discount retailing
e. Franchising
A outline the scope of the business and such consideration are sourced
employment, competitive
advantages, and overall coordination of functional areas.
a. mission statement
b. corporate strategy
c. business-unit strategy
d. marketing strategy
e. marketing mix
Tercile Products Company advertises a specific product heavily, and Carbone Products
Company wants to offset the effects of that advertising. In this case, Carbone would
most likely employ advertising.
a. competitive
b. pioneer
c. institutional
d. primary
e. target
The three primary bases for developing prices are:
a. profit, demand, and competition.
b. supply, demand, and marketing objectives.
c. demand, competition, and cost.
d. markup, cost, and cost-plus.
e. negotiation, periodicity, and randomness.
Coca Cola Company entices consumers to its website through contests and games, but
it cannot force people to visit the website due to the characteristic of online media.
a. accessibility
b. control
c. interactivity
d. addressability
e. connectivity
According to research, only a small percentage of consumers have a more positive
opinion of an organization when it supports causes they care about.
a. True
b. False
Lucy buys a new dress at T.J. Maxx that has a price tag with “Compare at $150.00, our
Price $89.99.” This is an example of the use of:
a. bundle pricing.
b. cumulative discounts.
c. seasonal discounts.
d. base-point pricing.
e. reference pricing.
An information input is less likely to reach awareness if it is related to an event that the
person is anticipating.
a. True
b. False