principles of marketing final exam review unit 2

often companies must choose between a responsive supply chain and an efficient supply chain. this decision is based on?
the specific needs of customer segments
in terms of promotion, which of the following type of product would stress price, availability, and awareness?
-convenience
-speciality
-shopping
-unsought
-supply
convenience- promotion for convenience products stresses price, availability, and awareness
what stage in the product life cycle is characterized by a slowing of total industry sales or product case revenue?
maturity- this stage of the product life cycle is characterized by the slowing of total industry sales or product case revenue, causing marginal competitors to begin leaving the market.
a product that disrupts consumers’ normal routines but does not require totally new learning is a?
dynamically continuous innovation.
convenience products refers to
products consumers purchase frequently and with a minimum of shopping effort
a small electronics company has begun production of a small line of high quality, professional studio-model components targeted at audiophiles who shop at thousands of specialty stores across the U.S. how should the small electronics company best distribute its new products?
distribution through agents who sell to specialty electronic stores that will feature the new line.
the ratio of perceived benefits to________ is referred to as value
price
the categories for people-based services include_________.
unskilled labor, skilled labor, and professionals
what type of discount would toro most likely offer its channel members to carry and sell its riding lawn mowers during winter months?
seasonal discounts
goods can be divided into ___________ goods and __________ goods
durable(multiple uses out of the product)
nondurable(consumed in one or few uses)
intangible activities or benefits that an organization provides to satisfy its customers’ needs in exchange for money or something else of value are referred to as __________.
-goods
-marketing mix
-services
-products
-ideas
services
a ________ product is one for which significant customer education is required and there is and extended introductory period.
-fad
-fashion
-high-learning
-low-learning
-substitute
high-learning
logistics management refers to?
the practice of organizing the cost-effective flow of raw materials, in-process inventory, finished goods, and related information from point of origin to point of consumption to satisfy customer requirements
four common approaches to selecting an approximate price level are?
-demand oriented
-cost oriented
-profit oriented
-competition oriented
the type of business products known as support products includes installations, accessory equipment, supplies, and __________?
industrial services
during the introduction stage of the product life cycle, a(n)___________ pricing strategy may be used. this pricing strategy charges a high initial price to recoup the cost of product development.
skimming
dockers, the U.S market leader in casual pants, originally intended its product as a single want for every situation. dockers now promotes different looks for work, weekend, dress, and golf. dockers new strategy is designed to?
create new use situations
the most important consideration in choosing a market channel when buyers have limited knowledge or desire specific data about a product or service is to provide_____________.
-information
-convenience
-postsale services
-seller adaptability
-presale services
information
if a firm finds the demand for one of its products is inelastic, it can increase its total revenues by?
raising its prices
business products refers to
products organizations buy that assists in providing other products for resale.
the range of gatorade offerings, from the traditional gatorade thirst quencher to newly enhanced beverages conveying the attitude of a tough-love coach or personal trainer through in-your-face names on the table and nutrition benefits inside, are all examples of a companies commitment to___________ product development.
-discontinuous
-simultaneous
-continuous
-dynamic
-symiotic
continuous
a product is a good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfy customers’ needs and is received in exchange for?
money or something else of value
a ___________ is defined as an item consumed in one or just few uses.
nondurable good
the first LCD flat panel HD TV is an example of which type of innovation?
continuous innovation
LG electronics recently introduced the fridge-TV with a 15″ television screen mounted in the right side refrigerator door. this is an example of which type of innovation?
dynamically continuous innovation(disrupts the consumers normal routine)
in terms of target market coverage, density refers to the number of ___________ in a geographical area
retail stores
what is the marketing objective for the maturity stage of the product life cycle?
maintain brand loyalty
what are the three important aspects of product life cycles?
-their length
-the shape of their sales curve
-the rate at which consumers adopt products
the added value a brand name gives to a product beyond the functional benefits provided is referred to as?
brand equity
total revenue= _________(__________)-_________+____________
=price(quantity)-(fixed cost + variable cost)
the four I’s of services consists of
-intangibility
-inconsistency
-inseparability
-inventory
in choosing the appropriate marketing channel, a firm should consider the interests that buyers might want fulfilled. this interest fall into four broad categories:
-information
-convenience
-variety
-pre or post sale services
which of the following is considered a durable good?
-silverware
-chewing gum
-caviar
-marketing research
-voting
silverware
which of the following statements about the decline stage of the product life cycle is most accurate?
a major reason that a firms product enters the decline stage is as a result of a change in the marketing environment.
marketing channels help create value for consumers through four utilities. these utilities are
-time
-place
-form
-possession
what is the marketing objective for the maturity stage of the product life cycle?
maintain brand loyalty
at mattel, barbie is child-tested to be sure the doll cannot be broken apart and accidentally choke a child. this type of consumer or safety test occurs during the ________________ stage of the new-product process.
developement
four cost concepts are important in pricing decisions:
-total cost
-variable cost
-unit variable cost
-fixed cost
the product life cycle refers to?
a concept that describes the stages a product goes through in a marketplace.
-introduction
-growth
-maturity
-decline
at what stage in the product life cycle do industry profits usually peak?
growth
in addition to price, economists emphasize three other key factors
-consumer tastes
-availability of similar products
-consumer income
if proctor and gamble were to package a gillette fusion pro glide razor with its old spice pure sport anti-perspirant and deodorant, P&G would be engaged in
product bundling
product modification refers to a marketing strategy that
alters a products characteristic, such as its quality, performance, or appearance, to increase its value to consumers and to increase sales
extending credit to customers would be an example of ___________ function preformed by channel intermediaries.
-facilitating
-risk taking
-buying
-transactional
-logistical
facilitating
________________= [fixed cost/(unit price – unit variable cost)]
break even point
during the introduction stage of the product life cycle, the place element of the marketing mix is highly involved with?
gaining distribution, even though many channel intermediaries will be reluctant to carry a new product
reasons for new product failure(8)
-insignificant point of difference
-incomplete market and product protocol before product development starts
-not satisfying customers on critical factors
-bad timing
-no economic access to buyers
-poor product quality
-poor execution of the marketing mix
-too little market attractiveness
when you order a sweatshirt form L.L.bean mail ordering catalog, what type of marketing channel are you and the company using?
direct marketing channel