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HardieSidingProducts
James Hardie began selling fiber cement siding products in the United States in 1989 to
leading builders, lumberyards, and home improvement centers. Even though ads
guaranteed the product would not rot or crack for 50 years, many builders hated the
product. It was heavy to install, and it showed every flaw in a bad framing job. In 1997,
Hardie decided to run ads in traditional lifestyle magazines and emphasize the
emotional appeal of houses made with strong, weather-resistant materials. Soon
consumers began asking their builders or remodelers to use the product. Trade ads were
used to explain how builders could take advantage of the interest created by the ads in
lifestyle magazines. By 2000, the HardiePlank was the number one brand of siding in
North America. James Hardie is now the third most recognized brand of building
material in the world.
Refer to Hardie Siding Products. HardiePlank siding is an example of a product:
a. line.
b. mix.
c. reference point.
d. item.
e. standardization.
Answer:
Loss-leader pricing is a price tactic that tries to get consumers into a store through false
or misleading price advertising.
a. True
b. False
Answer:
Marketers targeting consumers in foreign countries must worry about the translation
and possible miscommunication of their promotional messages by other cultures.
a. True
b. False
Answer:
____ tend to be suspicious of new products and alienated from a rapidly advancing
society.
a. Opt-in buyers
b. Innovators
c. Adopters
d. Luddites
e. Laggards
Answer:
When a seller determines the selling price by adding to cost an amount for profit and
expenses not previously accounted for, the seller is using _____pricing.
a. profit maximization
b. demand-oriented
c. break-even
d. target return
e. markup
Answer:
The goal of most supply management activities is to:
a. reduce the cost of raw materials and supplies.
b. provide satisfying customer service
c. make sure the right amount of product is kept on hand
d. identify, sort, and label goods
e. move products from supplier to producer and from producer to buyer
Answer:
Media vehicles like Peoplemagazine and TheChicagoTribuneappeal to a wide cross
section of the population. In contrast, Self magazine and The Food Network have high
levels of:
a. longevity.
b. audience selectivity.
c. geographic selectivity.
d. flexibility.
e. market singularity.
Answer:
BoiseCascade
Boise Cascade comprises two businesses.
Boise Cascade Building Materials Distribution is one of the largest wholesale building
materials distributors in the United States. The firm's 33 distribution facilities market a
wide range of building products and services to retail lumber dealers, home
improvement centers, and industrial accounts nationwide.
BoiseCascadeWoodProductsmanufactures plywood, lumber, particleboard, and
engineered wood products (laminated veneer lumber, I-joists, and laminated beams) at
20 manufacturing facilities in the United States and Canada. The firm's wood products
are used primarily in housing, industrial construction, and a variety of manufactured
products. The wood products are sold to retail lumber dealers, home centers
specializing in the do-it- yourself market, and industrial customers.
Refer to Boise Cascade. Home Depot purchases large amounts of plywood and lumber
from Boise Cascade, which it sells to contractors and others in the building trade. Home
Depot would be which type of customer?
a. Producer
b. Reseller
c. Government
d. Institution
e. Wholesaler
Answer:
DigitalCookware
Digital Cookware has developed a new kind of skillet that should make cooking easier
for many non-chefs. The skillet has a display on its handle that beeps to alert the cook
when the pan's target temperature is reached. The skillet, with the aid of an
accompanying cookbook, will take much of the guesswork out of cooking. Digital
Cookware is a small company, and it has invested considerable money in developing
this new technology, which it eventually hopes to use in an entire line of pots and pans.
It has run some small ads for the new skillet in cooking magazines and has been
featured on some morning talk shows. It needs a quick infusion of cash to maintain its
current operational level and to develop the rest of the cookware line. Digital Cookware
is considering some kind of sales promotion.
Refer to Digital Cookware. If consumers receive a free spatula with the purchase of
Digital Cookware, this is an example of which type of consumer sales promotion?
a. A sample
b. A premium
c. A rebate
d. A bonus pack
e. An add-on
Answer:
If items are ______, an increase in the sale of one good causes an increase in the sale of
the other (and vice versa).
a. inverse
b. neutral
c. complementary
d. substitute
e. negative
Answer:
An emphasis on branding generally begins as firms use _____advertising.
a. comparative
b. differentiational
c. pioneering
d. institutional
e. competitive
Answer:
A ____ is a form of personal interviewing that uses a group of seven to ten people who
have been recruited because of certain desired consumer characteristics.
a. passive people meter
b. primary data group
c. cross-tab set
d. CLT interview
e. focus group
Answer:
Which of the following statements about pricing strategies throughout the product life
cycle is NOT true?
a. During product decline, prices may also decline until there is only one competitor left
in the market.
b. Price increases during the maturity stage are cost initiated instead of demand
initiated.
c. The maturity stage often brings about price decreases.
d. Prices stabilize when the product enters the growth stage.
e. With inelastic demand, price will be set low during the introduction stage.
Answer:
Decision-making roles among family members tend to vary significantly depending on
the type of item purchased.
a. True
b. False
Answer:
EffectiveSocialMedia
Many marketers define their social media objectives around five core concepts: (1)
listening""understanding what customers are saying and who those customers are, (2)
talking""promoting products/services through conversations with customers, (3)
energizing""finding enthusiastic customers and using them to sell to others, (4)
supporting""enabling customers to help one another, and (5) embracing""using
customers as a source of product innovation. Marketers should also keep in mind that,
more and more, customers expect companies to use social medi
a. According to a recent survey, more than half of all consumers want ongoing
conversations with companies and brandsand of consumers who use social media
themselves, a whopping 85 percent believe that companies should have an active social
media presence. Marketers who embrace such consumers can harness the power of
social media and ultimately improve profits and brand loyalty.
Refer to Effective Social Media. One way an organization might effectively use
noncorporate blogs to help achieve its social media goals is by:
a. providing bloggers with products and/or money in exchange for a review.
b. flooding the comments section of such blogs with positive comments about the brand
or company.
c. purchasing the blogs from the owners and converting them into corporate blogs.
d. endearing the organization with anecdotes and stories about the brand.
e. designing their own corporate blogs to mimic the look of their noncorporate rivals.
Answer:
____ relates to the fact that customers who have made a purchase lately are more likely
to purchase again in the near future than customers who haven"t purchased for a while.
a. External search traffic
b. Effective reach
c. Stickiness
d. Recency
e. Effective frequency
Answer:
Oakley, a manufacturer of protective eyewear for various kinds of sports, has
introduced sunglasses that play music. The glasses weigh just a few ounces and can
hold up to 120 songs. These sunglasses would be an example of a(n):
a. repositioning strategy
b. new product line
c. addition to existing product line
d. discontinuous innovation
e. revision of existing products
Answer:
Caterpillar, Inc. is the world's largest manufacturer of earthmoving and construction
equipment. Kirovsky is a large Russian manufacturer of the same type of products. The
two companies entered into a(n) ____ and created NEVAMASH, a new company.
a. import/export partnership
b. countertrade
c. disintermediation agreement
d. joint venture
e. franchise
Answer:
Telemarketing can consist of either unsolicited ____ sales calls, or____sales calls,
which allow companies to receive orders through toll-free telephone numbers.
a. order placement; lead generation
b. push strategy; pull strategy
c. systematic; synergistic
d. qualifying; finalizing
e. outbound; inbound
Answer:
By defining its business as "printing books" instead of "empowering imaginations," a
children's book publishing company would more than likely experience:
a. market synergy
b. product entropy
c. market harvesting
d. nonspecific strategic planning
e. marketing myopia
Answer:
Price lining presents certain drawbacks to sellers, especially if:
a. costs are continually rising.
b. competition suddenly increases.
c. profit margins are lowered.
d. demand is rising.
e. costs are flat.
Answer:
What do self-sufficiency, upward mobility, work ethic, and conformity have in
common?
a. These are no longer valued attitudes
b. They are attitudes that can easily be changed
c. These are three perceptions that Americans have of the Asian lifestyle
d. These are three of the core values that influence lifestyles in the United States
e. They are the determinants of a component lifestyle
Answer:
BreatheRight
CNS, Inc. is the manufacturer of Breathe Right nasal strips, a spring-loaded adhesive
device that sticks on your nose to open up the nasal passages. Since their introduction in
the United States, Breathe Right strips have been used by athletes hoping to improve
their performance through increased oxygen flow, snorers hoping for a sound night's
sleep, and allergy and cold sufferers looking for relief from their stuffy noses. Because
CNS is a small company, it initially had trouble promoting its product. Then San
Francisco 49er Jerry Rice started regularly wearing them, and U.S. sales took off.
Today, Breathe Right strips are marketed in more than 40 countries. When CNS decided
to expand globally, its size made it look for a partner. It chose 3M because 3M already
had a global market distribution system and because the Breathe Right strips
complemented the 3M first aid product line.
Refer to Breathe Right. 3M is an example of a(n):
a. ethnocentric organization.
b. standard international market.
c. multinational corporation.
d. expatriated organization.
e. organization with no domestic base.
Answer:
Point-of-purchase promotions are seldom used as a sales promotion tool because most
purchase decisions are made before consumers ever enter a store.
a. True
b. False
Answer:
Andrea needs to find a kennel for boarding her son's dogs. There are several different
kennels in her community, and Andrea believes all of them to be basically alike. The
only feature she is genuinely concerned about is low price. For Andrea, the kennel for
boarding dogs would be classified as a(n) _____ product.
a. specialty
b. unsought
c. heterogeneous shopping
d. basic convenience
e. homogeneous shopping
Answer:
The development of a target market strategy begins with a marketing audit.
a. True
b. False
Answer:
____ occurs when a firm is customer driven and seeks to understand the attributes
customers want in the goods and services they buy and the value of those attributes to
customers. Thus, the price of the product is set at a level that seems to the customer to
be a good price compared with the prices of other options.
a. Value-based pricing
b. Noncumulative pricing
c. CRM pricing
d. Market concept pricing
e. Price bundling
Answer:
Everyone knows the brand name Kleenex. Kleenex is what many consumers think of
when they think of tissues.
This widely recognized brand name is a source of:
a. a product differentiation competitive advantage
b. a cost advantage
c. market augmentation
d. a niche competitive advantage
e. generalization of a brand
Answer:
A(n) ____ is the practice of choosing goods and services that meet one's diverse needs
and interests rather than conforming to a single, traditional lifestyle.
a. aggregated lifestyle
b. component lifestyle
c. psychographic mode of living
d. demographically defined lifestyle
e. targeted lifestyle
Answer:
The Ritzy Canine
The Ritzy Canine Carriage House looks like several other Manhattan boutique hotels.
The lobby features a crystal chandelier, brocade-patterned wallpaper, gold-framed
mirrors, and antique chairs. Room service and salon service are available as well as
exercise facilities. There is also a masseuse on staff. The Ritzy Canine is a high-end
doggy "hotel" and 'spa" where dogs are the only guests, and they are lavishly cared for.
The $175anight Windsor Suite even has a DVD player. Without such extras, a one-day
visit will cost $40 to $50, depending on the size of the dog.
Refer to The Ritzy Canine. Research has shown that consumers evaluate service quality
on five components.
When customers rate the people who supervise the dog activities as being "dog people"
who have an understanding of the needs of dogs and their owners, they are concerned
with the ____ component.
a. reliability
b. responsiveness
c. standardization
d. empathy
e. flexibility
Answer:
By 2050, about one in three U.S. residents will be Hispanic.
a. True
b. False
Answer:
Which of the following games is probably the MOST appropriate for marketing and
advertising?
a. Dungeon Runners
b. World of Warcraft
c. Texas Hold"em Poker
d. Legends of Future Past
e. The Chronicles of Spellborn
Answer:
Breyer"sIceCream
One hot August afternoon, as Nelson is driving home from work, he sees a billboard for
Breyer's Ice Cream. He remembers that he is out of ice cream at home, and thinks it
would be really great to have a nice, cold bowl of ice cream on such a hot day. So he
stops into the convenience store near his home, heads straight for the dairy case, and
picks up a half-gallon of strawberry ice cream.
Refer to Breyer's Ice Cream. The billboard that Nelson noticed is an example of a(n)
information source.
a. experiential
b. nonmarketing-controlled
c. internal
d. unbiased
e. marketing-controlled
Answer:
Communication to large audiences, usually through a medium such as television or a
newspaper, is called ____ communication.
a. mass
b. feedback-proof
c. referential
d. interpersonal
e. public
Answer:
