QUESTION What is an innovation? What will be an ideal response? ANSWER Answer: An innovation is a product that customers perceive as being newer or better than existing products. Explanation: Examples of past innovative products range from the vacuum cleaner (1907) to Velcro (1954) to the Searle birth control pill (1960) to the Toyota […]
QUESTION Which soup company could get away with charging more than its competitors, for at least a short time: a long-established company with a nationally recognized brand or a new company with a brand no one has heard of? Use evidence from the text to support your answer. What will be an ideal response? […]
QUESTION What is the consumer market? What will be an ideal response? ANSWER Answer: The consumer market consists of all those individuals or households that want goods or services for their personal use. Explanation: Consumer goods and services fall into the four general classes of convenience, shopping, specialty, and unsought.
QUESTION At which stage in developing a new product does packaging come into play? What will be an ideal response? ANSWER Answer: at the test-marketing stage Explanation: Test-marketing is the first stage at which the product is ever sold, and so packaging is needed.
QUESTION Name 10 of the 15 given components of a total product offer. What will be an ideal response? ANSWER Answer: Any 10: advertising image, availability, brand name, consumer’s prior experience, convenience, financing, guarantees, Internet access, maker’s reputation, packaging, price, product labeling, retailer’s environment, service, warranty Explanation: The 15 possible components of a total […]
QUESTION Which of the following, if true, undermines the argument that Zappos should move toward a mass marketing campaign? A) Zappos’ market research reveals that price is the most important factor for most customers who routinely buy shoes, clothing, and accessories. B) Awareness of Zappos’ brand is low among customers who routinely buy shoes, clothing, […]
QUESTION Name and describe the three types of innovation. What will be an ideal response? ANSWER Answer: (1) Continuous innovation represents modest improvements to an existing product to distinguish it from competitors; they require little consumer behavior change. (2) Dynamically continuous innovation represents marked changes to an existing product that require a moderate amount […]
QUESTION What are the three reasons for understanding how the process of innovation works? What will be an ideal response? ANSWER Answer: (1) Product obsolescence: Existing products become obsolete as consumers’ needs change or competitors add better features. (2) Frequent failure of new products: Constant innovation is necessary because most new products your company […]
QUESTION Differentiate among brand names, brand marks, and trademarks. What will be an ideal response? ANSWER Answer: Brand names are those parts of a brand that can be expressed verbally, such as by words, letters, or numbers. Brand names are those parts of a brand that cannot be expressed verbally, such as graphics and […]
QUESTION What is a brand manager, or product manager, responsible for? What will be an ideal response? ANSWER Answer: A brand manager, or product manager, is responsible for the key elements of the marketing mix—product, price, place, and promotion—for one brand or one product line. Explanation: Many companies have a brand manager, or product […]
