Chapter 13: Product and Pricing Strategies
Multiple Choice

1.  

In addition to expense and capital items classification, organizational buyers and sellers also divide products according to their intended usage, such as ...
raw materials.
installations.
components.
all of the above.

2.  

Two unique aspects of service products are ...
intangibility and bundling.
intangibility and perishability.
price elasticity and perishability.
none of the above.

3.  

Which of the following is NOT a consumer product subgroup?
Unsought goods
Shopping products
Supplies
Specialty products

4.  

Which of the following is NOT a stage in a product's life cycle?
Bundling
Decline
Maturity
Introduction

5.  

Products move through their life cycles much faster today due to ...
technology.
globalization.
the ability to quickly imitate competitors.
all of the above.

6.  

Idea screening to determine which suggested ideas are worthy of further development for industrial or technical products involves ...
feasibility studies.
marketing consultants.
potential customers' input.
all of the above.

7.  

Which of the following is NOT an advantage to being a "fast-follower" in producing a new product?
The first company proves the demand for the new product.
The first-to-market company often gets all the attention.
The first company educates consumers about the benefits of the new product.
A fast-follower can improve upon the product to meet consumer preferences.

8.  

After ideas are generated and screened, a new product passes through four more stages of development. Which of the following is NOT one of those stages.
Business analysis
Prototype development
Commercialization
Trademarking

9.  

Which of the following is NOT a positioning error that companies try to avoid?
Underpositioning
Confused positioning
Overpositioning
None of the above.

10.  

When introducing products to a foreign country, companies must consider which of the following non-cultural differences?
The target country's type of government
Market entry requirements
Customer preferences
Trade barriers

11.  

A good product name should ...
speak directly to the product's target customers.
motivate customers to purchase the product.
be distinguishable from the competition.
all of the above.

12.  

Brands that carry the label of a retailer or a wholesaler rather than a manufacturer are known as...
private brands.
generic brands
national brands
none of the above.

13.  

In addition to protecting products from damage, what other role/s does product-packaging serve?
It facilitates product display.
It is used for consumer convenience.
It attracts consumer attention.
All of the above.

14.  

Which of the following is NOT a factor in pricing decisions?
Price discounts
Government regulations
Consumer perceptions
Marketing objectives

15.  

Which of the following is NOT a pricing method?
Price skimming
Penetration pricing
Dynamite pricing
Cost-based pricing


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