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Chapter 10: Crafting the Brand PositioningGENERAL CONCEPT QUESTIONSMultiple Choice 1. As part of the strategic brand management process, each company and offering must represent a distinctive _ in the mind of the target market. a. promotionb. cellc. big idead. ade. organizational conceptAnswer: cPage: 309Level of difficulty: Medium2. All marketing strategy is built on STPsegmentation, targeting, and _. a. positioningb. productc. planningd. promotione. performanceAnswer: aPage: 310Level of difficulty: Medium3. _ is the act of designing the companys offering and image to occupy a distinctive place in the mind of the target market.a. Positioningb. Product conceptualizationc. Promotion presentationd. Performance imaginge. Preproduct launching Answer: aPage: 310 Level of difficulty: Easy4. The result of positioning is the successful creation of _, a cogent reason why the target market should buy the product. a. an award winning promotional campaignb. a customer-focused value propositionc. a demand channeld. every-day-low-pricing e. strategic window of opportunityAnswer: bPage: 310Level of difficulty: Hard5. A good illustration of the value position for Perdue (chicken) is _. a. one price beats allb. bring chicken to the worldc. ethical values, the American way, and quality chickend. chicken any way you like ite. more tender golden chicken at a moderate premium priceAnswer: ePage: 311Level of difficulty: Hard6. A starting point in defining a competitive frame of reference for a brand positioning is to determine _the products or sets of products with which a brand competes and which function as close substitutes. a. functional membershipb. competitive fieldc. category membershipd. value membershipe. demand fieldAnswer: cPage: 311Level of difficulty: Medium7. Which of the following terms is most closely associated with the following 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. Brand imageb. Points-of-differencec. Points-of-parityd. Points-of-valuee. Brand conceptAnswer: bPage: 312 Level of difficulty: Medium8. _ are associations that are not necessarily unique to the brand but may in fact be shared with other brands. a. Points-of-parityb. Points-of-differencec. Brand cellsd. Brand positionse. Points-of-competitive fieldAnswer: aPage: 313 Level of difficulty: Medium9. To achieve a point-of-parity (POP) on a particular attribute or benefit, a sufficient number of consumers must believe that the brand is “_” on that dimension. a. most excellentb. neutralc. marginald. good enoughe. service-basedAnswer: dPage: 313 Level of difficulty: Medium10. The preferred approach to positioning is to inform consumers of a brands membership before stating its _. a. point-of-parityb. point-of-differencec. point-of-conflictd. point-of-weaknesse. point-of-referenceAnswer: bPage: 314 Level of difficulty: Medium11. There are three main ways to convey a brands category membership: announcing category benefits, _, and relying on the product descriptor.a. overt publicityb. industry trade pressc. buzz marketingd. preference positionse. comparing to exemplarsAnswer: e Page: 315Level of difficulty: Hard12. To avoid confusing brand loyal customers, Ford presented the X-trainer as a “sport wagon.” With respect to ways of conveying a brands category membership, which of the following did Ford use with its new product? a. Announcing category benefits.b. Comparing to exemplars.c. Relying on the product descriptor.d. Using brand perception to increase profits.e. Using public relations to secure brand position.Answer: cPage: 315Level of difficulty: Medium13. Points-of-parity are driven by the needs of category membership and _. a. loyaltyb. large marginsc. guaranteed profitsd. the necessity of negating competitors PODs (points-of-difference) e. the creation of PODs (points-of-difference) Answer: dPage: 315 Level of difficulty: Hard14. There are at least three key consumer desirability criteria for PODs (points-of-difference): relevance, distinctiveness, and _. a. believability b. presentation stylec. economyd. non-technologicale. information contentAnswer: aPage: 315Level of difficulty: Medium15. Which of the following desirability criteria asks a question such as “Is the positioning preemptive, defensible, and difficult to attack?” when determining a POD (point-of-difference)? a. Feasibilityb. Communicabilityc. Sustainabilityd. Knowledgeablee. Value orientation Answer: cPage: 316 Level of difficulty: Hard16. Marketers must decide at which level to anchor the brands points-of-differences. At the lowest level are _. For example, Dove soap can talk about the fact that it is one-quarter cleansing cream. a. brand valuesb. brand attributesc. brand benefitsd. brand specificationse. brand partitionsAnswer: bPage: 316Level of difficulty: Medium17. 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 correlatedb. positive correlatedc. neither positive nor negatively correlatedd. inversely correlatede. unable to be correlatedAnswer: a Page: 316Level of difficulty: Hard18. All of the following would be considered to be among examples of negatively correlated attributes and benefits EXCEPT _. a. low price vs. high qualityb. taste vs. low caloriesc. supply vs. demandd. powerful vs. safee. nutritious vs. good tastingAnswer: cPage: 317 Level of difficulty: Easy19. When BMW created a straddle position with its “luxury and performance” approach, it was able to maximize _. a. its core identityb. attributesc. benefitsd. both attributes and benefitse. competitive parityAnswer: dPage: 317Level of difficulty: Medium20. In order to derive a fresh approach to gaining consumer insights to differentiating products and services, MacMillan and McGrath suggest in their list of questions that help in identifying new, customer-based points of differentiation. Which of the following is NOT one of those questions? a. How do consumers find your offering?b. How do consumers make their final selection?c. How is your product installed?d. How is your product stored?e. How was the product or service invented?Answer: ePage: 318 Level of difficulty: Medium21. The obvious means of differentiation, and often most compelling ones to consumers, relate to aspects of the _.a. priceb. distribution processc. promotionsd. product and servicee. sales team responsible for the product or serviceAnswer: d Page: 319Level of difficulty: Medium22. The Strategic Planning Institute studied the impact of higher relative product quality and found a _ between relative product quality and return on investment (ROI). a. positive correlationb. negative correlationc. neither a positive or negative correlationd. inverse correlatione. correlation to be infeasible Answer: aPage: 319Level of difficulty: Medium23. Better-trained personnel exhibit six characteristics. Which of the following would NOT be among those six characteristics? a. Competenceb. Courtesyc. Credibilityd. Aggressiveness e. ReliabilityAnswer: dPage: 320Level of difficulty: Easy24. Brand image means different things to different people. Which of the following national companies is known for hiring employees based on diversity (e.g., might be tattooed or have multiple body piercing)? a. Barnes & Nobleb. Bordersc. J.W. Marriottd. Walt Disneye. Southwest AirlineAnswer: bPage: 320Level of difficulty: Hard25. With respect to image differentiation, _ is the way a company aims to identify or position itself or its products. a. imageb. identityc. character d. culturee. the WOW factorAnswer: bPage: 321Level of difficulty: Medium26. An effective identity does three things: it establishes the products character and value propositions; it conveys this character in a distinctive way; _. For the identity to work, it must be conveyed through every available communication and brand contact. a. it must present everyday low priceb. it must be aesthetically pleasingc. it delivers emotional power beyond a mental imaged. it must have a global presencee. it must avoid all cultural taboosAnswer: cPage: 321Level of difficulty: Hard27. To say that a product has a life cycle is to assert four things. All of the following would be from that list of assertions EXCEPT _.a. products have a limited life b. product sales pass through distinct stages, each posing different challenges, opportunities, and problems to the sellerc. products all basically exhibit cycle-recycle growth patternsd. profits rise and fall at different stages of the product life cyclee. products require different marketing, financial, manufacturing, purchasing, and human resource strategies in each life-cycle stageAnswer: cPages: 321322Level of difficulty: Medium28. According to Crego and Schiffrin, if a restaurant serves a complimentary sorbet between courses and places candy on the table after the last course is served, the restaurant has a consumer value benefit that is _. a. basicb. expectedc. desiredd. unanticipatede. meaningfulAnswer: dPage: 322 Level of difficulty: Medium 29. The four stages of the product life cycle include all of the following EXCEPT _.a. declineb. learningc. maturityd. introductione. growthAnswer: bPage: 322Level of difficulty: Easy 30. The _ stage of the product is characterized as being one where there is period of rapid market acceptance and substantial profit improvement. a. introductionb. growthc. maturityd. saturatione. declineAnswer: bPage: 322Level of difficulty: Medium31. According to the general bell-shaped curve used to illustrate the product life cycle, which of the following stages is generally seen when the sales curve is at its peak? a. Introductionb. Growthc. Maturityd. Declinee. AbandonmentAnswer: cPage: 322Level of difficulty: Easy32. According to the illustrations describing the product life cycle, during which stage of the cycle is there a strong likelihood that negative profits will be the norm? a. Introductionb. Growth c. Maturity d. Declinee. DeathAnswer: aPage: 322Level of difficulty: Medium33. Which of the following common product life-cycle patterns would be characterized as being one where sales grow rapidly when the product is first introduced and then fall to a “petrified” level that is sustained by late adopters buying the product for the first time and early adopters replacing the product? a. Cycle-recycle patternb. Scalloped patternc. Growth-slump-maturity patternd. Reverse-cycle patterne. Inverse-cycle patternAnswer: cPage: 323Level of difficulty: Medium 34. A product such as nylon (e.g., numerous usesparachutes, hosiery, shirts, carpeting, et cetera) has been characterized as having a _ pattern to its product lifecycle. a. growth-slump-maturityb. scallopedc. cycle-recycled. triangular e. fadAnswer: bPage: 323Level of difficulty: Hard35. When Mel chose his new home, he picked a Cape Cod design. Which of the following special categories of product life cycles would be most associated with the description of Mels home? a. Styleb. Fashionc. Fadd. Ideatione.TechnologicalAnswer: aPage: 323Level of difficulty: Medium36. _ do not normally survive (as a special category product life cycle) because they do not normally satisfy a strong need. a. Styles b. Fashionsc. Fadsd. Intra-brandse. TrendsAnswer: c Page: 324Level of difficulty: Easy37. Which of the following product life-cycle stages would be appropriately described as being one where firms focus mainly on buyers from higher-income groups and prices tend to be high because costs are high? a. Introduction stageb. Growth stagec. Maturity staged. Saturation stage e.Decline stageAnswer: aPage: 324Level of difficulty: Medium38. Most studies indicate, with respect to the product lifecycle in its introductory stage, that the _ gains the most advantage. a. market pioneer b. market nicherc. market reverser d. market followere.market challengerAnswer: a Page: 324Level of difficulty: Hard39. Tellis and Golder identified five factors as underpinning long-term market leadership. Which of the following is NOT one of those factors?a. vision of mass marketb. persistencec. slash-and-burn tacticsd. relentless innovatione. asset leverageAnswer: cPage: 325 Level of difficulty: Medium40. Which of the following product lifecycle stages is characterized as being one where a rapid climb in sales occurs, new product features are introduced by new competitors, and distribution is expanded? a. Pre-pioneeringb. Introductionc. Saturationd. Growthe. MaturityAnswer: dPage: 325 Level of difficulty: Medium41. All of the following strategies have been suggested as proper for sustaining rapid market growth during the growth stage of the product life cycle EXCEPT when the firm _. a. improves product quality and adds new product features and improved stylingb. enters into new market segmentsc. lowers prices to attract the next layer of price-sensitive buyersd. shifts from product-awareness advertising to product-preference advertisinge. moves to sue all new entrants into the market placeAnswer: ePage: 325 Level of difficulty: Medium42. Today, most products are in the _ of the life cycle, and most marketing managers must cope with the problems and challenges of this stage. a. pre-pioneering stageb. introduction stagec. growth staged. maturity stagee. decline stageAnswer: dPage: 326Level of difficulty: Medium43. The maturity stage of the product life cycle can be divided into three distinct phases. If the absolute level of sales starts to decline and customers begin switching to other products, the marketing manager will most likely find that the product is in the _ phase of the maturity stage. a. growthb. decaying maturityc. stabled. competitive vulnerabilitye. abandonmentAnswer: bPage: 326Level of difficulty: Medium44. A company might try to expand the market for its mature brand by working with the two factors that make up sales volume. Volume equals (=) _. a. supply times (X) demandb. number of brand users times (X) amount of money spent on each purchasec. number of brand users times (X) usage rate per userd. price level of the product times (X) the number of items purchasede. price level of the product times (X) the number in the market segment selected for targetingAnswer: cPage: 327Level of difficulty: Hard45. When Campbells soups began advertising that soups were an excellent snack for children or adults, it was using which of the following volume-oriented brand usage strategies? a. Use the product on more occasions.b. Use more of the product on each occasion.c. Use the product in new ways.d. Use improved quality to attract new users.e. Use the product in older, more traditional ways.Answer: aPage: 328Level of difficulty: Medium46. Managers try to stimulate sales by modifying the products characteristics. Which of these modifications has as its aim to increase the products functional performance? a. Feature improvementb. Style improvementc. Fashion improvementd. Packaging improvemente. Quality improvementAnswer: ePage: 328Level of difficulty: Hard47. When Vlasic created a cucumber 10 times larger than the traditional pickle cucumber (e.g., Hamburger Stackers), it used _ as a means of modifying its product so additional customers might be attracted to the brand. a. quality improvementb. feature improvementc. style improvementd. packaging improvemente. idea improvement Answer: bPage: 328Level of difficulty: Medium48. Marketing programs can be modified to stimulate sales. Which of the following forms of marketing program modification might ask such questions as “Can the company speed up delivery?” or “Can it extend more credit?” in order to bring modification about? a. Pricingb. Distributionc. Advertisingd. Personal sellinge. ServicesAnswer: ePage: 329Level of difficulty: Medium49. In the decline phase of the product life cycle, if a firm “milks” the firms investment to recover cash quickly, it is using a strategy called _. a. positioningb. reverse engineeringc. psychological divestmentd. harvestinge. abandonmentAnswer: dPage: 330Level of difficulty: Medium50. If an organization chooses “harvesting” as a decline stage PLC strategy, the first step in using such a strategy would likely be to _. a. rejuvenate the brand or productb. cut R&D costs and plant and equipment investmentc. cut all promotional expensesd. cancel distribution contractse. require that all distributors reduce inventory of older models of the productAnswer: bPage: 330Level of difficulty: Hard 51. Which of the following is a popular criticism of product life-cycle theory?a. It is too costly to implement.b. It has few actual examples that can be benchmarked.c. It only works in the U.S. market.d. Life-cycle patterns are too variable in shape and duration.e. Stages often follow fad trends.Answer: dPage: 331Level of difficulty: Medium52. Markets are similar to products with respect to life-cycle concepts. All of the following are considered to be stages that markets pass through in market evolution EXCEPT _. a. emergenceb. growthc. declined. maturitye. destructionAnswer: ePage: 332Level of difficulty: Easy53. Which of the following stages of the product life cycle (PLC) is characterized as being one where there are low sales, high cost per customer, negative profits, and few competitors? a. Introductionb. Growthc. Maturityd. Declinee. AbandonmentAnswer: aPage: 332Level of difficulty: Medium54. During which of the following stages of the product life cycle (PLC) would we expect a marketing manager to pursue a marketing objective of maximizing market share? a. Introductionb. Growthc. Pre-pioneeringd. Maturitye. DeclineAnswer: bPage: 332Level of difficulty: Hard55. When sales peak, there is a low cost per customer, profits are high, and the marketing manager attempts to maximize profit while defending market share, the product is most likely in the _ stage of the product life cycle (PLC). a. introductionb. pre-pioneeringc. growthd. maturitye.declineAnswer: dPage: 332Level of difficulty: Medium56. A manufacturer of calculators finds when examining the calculator market that there is about an even split between customers who want a small hand calculator and those that want a large one. This type of market, in which buyer preferences scatter evenly, is called a(n) _ market. a. emerging b. mass marketc. diffused-preferenced. nichee. standardizedAnswer: cPage: 333Level of difficulty: Medium57. If an entre
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