Marketing Chapter 11 Branding Strategies
Professor Myles Bassell page 1
Question When Texas Instruments (TI) introduced its pocket calculator it was a tremendous product innovation, and IT set the mail order price at $495. What is the name of the pricing strategy Texas Instruments used?Answer / rip off
chiseling
opportunistic
/ skimming
caveat emptor
Question The videocassette recorder (VCR) was introduced to the market in the late 1970s. Ninety-one percent of American homes own at least one VCR. To maintain market share in the VCR market and to get customers to purchase additional VCRs, its manufacturers have continually provided for higher-quality recording capabilities and made the machines easier to watch and with different features that allowed for quicker location of recorded programs. Because the goal of VCR manufacturers is to maintain brand loyalty and market share, the product category is in the ______stage of its product life cycle.
Answer / introduction
growth
/ maturity
decline
harvesting
Question An extended introduction stage of the product life cycle occurs for which type of product?
Answer / / high learning
low learning
fashion
fad
abnormal
Question As product adopters, innovators typically:
Answer / fear debt and use neighbors and friends as information sources.
are skeptical and have below average social status.
act with deliberation and use many informal social contacts.
are leaders in social standing and have slightly above average education when compared to the other adopter classes.
/ are venturesome, better educated than other product adopters, and use multiple information sources.
Question Major American car manufacturers are offering buying incentives to newly graduated college students who traditionally have little or no credit. Car manufacturers are using which of the following market modification strategies?
Answer / / finding new users
creating new use situations
increasing use by existing customers
modifying the product
reacting to competitors' position
Question In 2001, The Girl Guides, a Canadian institution for more than 90 years, realized it was in trouble. "We were the largest invisible girls' organization in Canada," says Georgia Guy, Girl Guides' manager of the organization's external relations. Which of the following strategies should it use to move itself from its current image of geekiness to an image of fun, friendship, and adventure?
Answer / deletion
/ repositioning
market penetration
market development
harvesting
Question Since the creation of the Hershey candy bar over 100 years ago, the price of chocolate has fluctuated, but the price of the candy bar has slowly risen. In fact, when the price of chocolate had dramatic price fluctuations over a three-year period, the price of a Hershey's candy bar remained the same. When the price of chocolate was very high, Hershey's was able to maintain its profits by making the bars smaller. Hershey's engaged in:
Answer / top-down marketing.
trading up.
bottom-up marketing.
game-playing.
/ downsizing.
Question Imagine the President of Black Stoves, Inc., is thinking about developing a new brand name for the company's line of wood stoves with catalytic converters. The stove because of its design also conserves wood because it burns slowly. The brand name he is considering is The Fast One. Why is this brand name choice NOT the best one?
Answer / The name should be distinctive and memorable.
The name should fit the company image.
The name should have no legal restrictions.
The name should be simple.
/ The name should suggest the product benefits.
Question In 1977, George Lucas granted Kenner, a toy manufacturer, the exclusive rights to produce Star Wars toys in perpetuity for $100,000 per year. Back then, of course, no one realized how valuable that right was, and for years Kenner made millions of dollars selling little plastic Princess Leias and R2-D2s. This is an example of a ______agreement.
Answer / franchising
trading up
harvesting
/ licensing
trading down
Question The Clorox Company also sells three different brands of charcoal. Kingsford is a well-established brand that has strong brand loyalty. BBQ Bag was specifically designed for today's grilling. Match Light appeals to those who want coals that are easy to light. For its charcoal line, Clorox uses a ______strategy.
Answer / family branding
blanket branding
co-branding
multiproduct branding
/ multibranding