MM 2nd Edition by Dawn Iacobucci - Test Bank

MM 2nd Edition by Dawn Iacobucci – Test Bank

 

Instant Download – Complete Test Bank With Answers

 

 

Sample Questions Are Posted Below

 

Chapter 5: Products: Goods and Services

 

TRUE/FALSE

 

1. A “product” is the general term used to describe both goods and services.

 

ANS:  T                    PTS:   1                    REF:   Page 53

MSC:  AACSB Reflective Thinking | TB&E Model Product | Knowledge of General Business Functions

 

2. We learn of and discuss product, price, place, and promotion separately because there are many details to consider for each element.

 

ANS:  T                    PTS:   1                    REF:   Page 53

MSC:  AACSB Analytic | TB&E Model Marketing Plan | Knowledge of General Business Functions

 

3. The execution of the 4Ps is flexible—only one piece needs to be in place and sending a consistent message for the overall product to be attractive to the customer.

 

ANS:  F                    PTS:   1                    REF:   Page 53

MSC:  AACSB Analytic | TB&E Model Marketing Plan | Knowledge of General Business Functions

 

4. When drivers purchase cars that are highly rated for their safety, the essential product is safety and the modifier is the actual car.

 

ANS:  F                    PTS:   1                    REF:   Page 53

MSC:  AACSB Analytic | TB&E Model Product | Managing Strategy & Innovation

 

5. The central element of what is purchased is called the “core,” and anything bought on top of that is called the “value-addeds.”

 

ANS:  T                    PTS:   1                    REF:   Page 53

MSC:  AACSB Analytic | TB&E Model Strategy | Knowledge of General Business Functions

 

6. Marketing is an exchange: the company offers something (e.g., a flight), and the customer offers something in return (e.g., a payment).

 

ANS:  T                    PTS:   1                    REF:   Page 54

MSC:  AACSB Communication | TB&E Model Strategy | Knowledge of Human Behavior & Society

 

7. Marketers have long realized the benefits of morphing long-term purchase-transaction exchanges into short-term relationship marketing.

 

ANS:  F                    PTS:   1                    REF:   Page 54

MSC:  AACSB Analytic | TB&E Model Marketing Plan | Managing Strategy & Innovation

 

8. Different levels of thought and involvement relate to different B2B purchasing situations, such as straight rebuys, modified rebuys, and new buys.

 

ANS:  T                    PTS:   1                    REF:   Pages 54-55

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Knowledge of General Business Functions

 

9. For low involvement products, the marketer just hopes to get the customers’ attention long enough to register the brand name in the mind of the customer for sheer familiarity.

 

ANS:  T                    PTS:   1                    REF:   Page 55

MSC:  AACSB Communication | TB&E Model Promotion | Foundational Skills

 

10. Search qualities are those attributes that may be evaluated prior to purchase as the customer learns about the competitive offerings.

 

ANS:  T                    PTS:   1                    REF:   Page 56

MSC:  AACSB Analytic | TB&E Model Research | Generative Thinking

 

11. Experience attributes are those that require some trial or consumption before evaluation.

 

ANS:  T                    PTS:   1                    REF:   Page 56

MSC:  AACSB Reflective Thinking | TB&E Model Product | Managing Strategy & Innovation

 

12. Credence qualities are those that are difficult to judge, even post-consumption.

 

ANS:  T                    PTS:   1                    REF:   Page 56

MSC:  AACSB Analytic | TB&E Model Strategy | Knowledge of Human Behavior & Society

 

13. Goods are dominated by credence and experience qualities, and services are mostly comprised of experience and search qualities.

 

ANS:  F                    PTS:   1                    REF:   Page 56

MSC:  AACSB Reflective Thinking | TB&E Model Strategy | Foundational Skills

 

14. In a service-oriented business such as a bowling alley, services are simultaneously produced and consumed.

 

ANS:  T                    PTS:   1                    REF:   Page 56

MSC:  AACSB Reflective Thinking | TB&E Model Product | Operations Skills

 

15. The inseparability of service production and consumption inevitably results in less perishable services.

 

ANS:  F                    PTS:   1                    REF:   Page 56

MSC:  AACSB Analytic | TB&E Model Strategy | Managing the Task Environment

 

16. Services are said to be less variable than products.

 

ANS:  F                    PTS:   1                    REF:   Page 57

MSC:  AACSB Reflective Thinking | TB&E Model Product | Foundational Skills

 

17. The service marketing exchange happens between a customer and a service provider representing the company.

 

ANS:  T                    PTS:   1                    REF:   Page 57

MSC:  AACSB Communication | TB&E Model Customer | Managing Strategy & Innovation

 

18. Good variability involves the customization and tailoring of the service delivery for the customer’s unique needs.

 

ANS:  T                    PTS:   1                    REF:   Page 58

MSC:  AACSB Analytic | TB&E Model Customer | Foundational Skills

 

19. Professional services, purchase experiences, and online shopping are some purchases that might be further along the intangibility dimensions than goods or services .

 

ANS:  T                    PTS:   1                    REF:   Page 58

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Strategic & System Skills

 

20. Companies can be myopic when they define their core business, focusing on their

product offerings instead of recognizing that their true goal is offering benefits and value to their customers.

 

ANS:  T                    PTS:   1                    REF:   Page 59

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Strategic & System Skills

 

21. As Chief Marketing Officer (CMO), Frank has seen the core competencies of his company change over the past five years.   During this time the core business of the company should not have shifted as the firm’s competencies changed.

 

ANS:  F                    PTS:   1                    REF:   Page 59

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Strategic & System Skills

 

22. Corporate growth is unexpected for investors, and a common means of achieving this goal is through acquisition.

 

ANS:  F                    PTS:   1                    REF:   Page 60

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Knowledge of Administration & Control

 

23. It’s important that brand managers focus on defining competition narrowly, as when we compute market shares.

 

ANS:  F                    PTS:   1                    REF:   Page 60

MSC:  AACSB Reflective Thinking | TB&E Model Customer | Knowledge of General Business Functions

 

24. Product lines can be trimmed or supplemented depending on market opportunities, however the overall marketing mix should not be altered as this will confuse loyal customers.

 

ANS:  F                    PTS:   1                    REF:   Page 61

MSC:  AACSB Reflective Thinking | TB&E Model Product | Knowledge of General Business Functions

 

MULTIPLE CHOICE

 

1. A _____ is the general term used to describe both goods and services.

a.	price	c.	promotion
b.	product	d.	place

 

 

ANS:  B                    PTS:   1                    REF:   Page 53

MSC:  AACSB Reflective Thinking | TB&E Model Product | Knowledge of General Business Functions

 

2. The 4Ps consist of

a.	price, place, promotion, product.	c.	promotion, product, purchase, place.
b.	place, promotion, price, purchase.	d.	pension, product, promotion, price.

 

 

ANS:  A                    PTS:   1                    REF:   Page 53

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Knowledge of General Business Functions

 

3. Marianne is shopping for a new car. Which of the 4Ps is most central to her purchase?

a.	price	c.	place
b.	promotion	d.	product

 

 

ANS:  D                    PTS:   1                    REF:   Page 53

MSC:  AACSB Reflective Thinking | TB&E Model Product | Knowledge of General Business Functions

 

4. The central element of what is purchased is called the “core,” and anything bought on top of that is called the

a.	promotions.	c.	value addeds.
b.	goods.	d.	extras.

 

 

ANS:  C                    PTS:   1                    REF:   Page 53

MSC:  AACSB Analytic | TB&E Model Product | Foundational Skills

 

5. Marketers have long realized the benefits of morphing _____ purchase-transaction exchanges into long-term relationship marketing.

a.	short-term	c.	customer
b.	high quality	d.	product

 

 

ANS:  A                    PTS:   1                    REF:   Page 54

MSC:  AACSB Analytic | TB&E Model Marketing Plan | Managing Decision-Making Processes

 

6. The three kinds of products are _____ shopping and specialty purchases.

a.	promotion	c.	simple
b.	quality	d.	convenience

 

 

ANS:  D                    PTS:   1                    REF:   Page 54

MSC:  AACSB Reflective Thinking | TB&E Model Product | Managing Strategy & Innovation

 

7. Zena is driving home from work one day and remembers that she squeezed the very last drop of toothpaste out of the tube earlier that morning, so she stops at her local drugstore on her way home.  She only purchases toothpaste.  This is an example of a _____ purchase.

a.	shopping	c.	specialty
b.	destination	d.	convenience

 

 

ANS:  A                    PTS:   1                    REF:   Page 54

MSC:  AACSB Reflective Thinking | TB&E Model Product | Managing Strategy & Innovation

 

8. Julia is at her local grocery store for her weekly shopping and grabs a three-pack of toothpaste.  There is still another tube left in her medicine cabinet but she doesn’t want to run out and is afraid she will forget to purchase it later.  Julia’s purchase is a _____ purchase.

a.	shopping	c.	specialty
b.	destination	d.	convenience

 

 

ANS:  D                    PTS:   1                    REF:   Page 54

MSC:  AACSB Reflective Thinking | TB&E Model Product | Managing Strategy & Innovation

 

9. With _____ purchases, you expect your customers to be somewhat more price sensitive.

a.	quality	c.	lower involvement
b.	high involvement	d.	brand

 

 

ANS:  C                    PTS:   1                    REF:   Page 55

MSC:  AACSB Reflective Thinking | TB&E Model Strategy | Strategic & System Skills

 

10. Which of the following are pure goods?

a.	rock concerts	c.	sporting events
b.	DVDs	d.	consulting

 

 

ANS:  B                    PTS:   1                    REF:   Page 55

MSC:  AACSB Reflective Thinking | TB&E Model Product | Managing Strategy & Innovation

 

11. _____ qualities are those attributes that may be evaluated prior to purchase, as the customer learns about the competitive offerings.

a.	Credence	c.	Search
b.	Experience	d.	Product

 

 

ANS:  C                    PTS:   1                    REF:   Page 56

MSC:  AACSB Analytic | TB&E Model Customer | Managing Decision-Making Processes

 

12. _____ attributes are those that require some trial or consumption before evaluation.

a.	Search	c.	Credence
b.	Product	d.	Experience

 

 

ANS:  D                    PTS:   1                    REF:   Page 56

MSC:  AACSB Analytic | TB&E Model Customer | Managing Decision-Making Processes

 

13. _____ qualities are those that are difficult to judge, even post-consumption.

a.	Product	c.	Experience
b.	Search	d.	Credence

 

 

ANS:  D                    PTS:   1                    REF:   Page 56

MSC:  AACSB Analytic | TB&E Model Product | Managing Decision-Making Processes

 

14. _____ are dominated by search and experience qualities.

a.	Goods	c.	Purchases
b.	Services	d.	Products

 

 

ANS:  A                    PTS:   1                    REF:   Page 56

MSC:  AACSB Analytic | TB&E Model Product | Foundational Skills

 

15. _____ are mostly comprised of experience and credence qualities.

a.	Products	c.	Purchases
b.	Services	d.	Goods

 

 

ANS:  B                    PTS:   1                    REF:   Page 56

MSC:  AACSB Analytic | TB&E Model Product | Foundational Skills

 

16. Services are simultaneously produced and consumed. This is different from goods because goods can be

a.	produced and consumed simultaneously.
b.	perishable.
c.	inventoried.
d.	inelastic.

 

 

ANS:  C                    PTS:   1                    REF:   Page 56

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Managing the Task Environment

 

17. Services are said to be more _____ than goods.

a.	perishable	c.	inseparable
b.	tangible	d.	variable

 

 

ANS:  D                    PTS:   1                    REF:   Page 57

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Generative Thinking

 

18. The inseparability of production and consumption also impacts the interaction between the _____ and the _____.

a.	service provider; customer	c.	variability; customer
b.	service provider; manufacturer	d.	variability; manufacturer

 

 

ANS:  A                    PTS:   1                    REF:   Page 57

MSC:  AACSB Reflective Thinking | TB&E Model Product | Generative Thinking

 

19. Self-service is advancing in many industries wherein a _____ interacts with _____.

a.	customer; a customer service rep	c.	customer; technology
b.	service provider; the manufacturer	d.	manufacturer; technology

 

 

ANS:  C                    PTS:   1                    REF:   Page 57

MSC:  AACSB Reflective Thinking | TB&E Model Strategy | Knowledge of Strategy & Innovation

 

20. As Chris arrives at the airport, he decides that instead of waiting in line to check-in he will use the automated check-in kiosk.  He types in the information requested by the kiosk and his boarding pass is printed within seconds.  These is exemplifies the growing trend of

a.	customer service.	c.	customer intimacy.
b.	self-service.	d.	operational excellence.

 

 

ANS:  B                    PTS:   1                    REF:   Page 57

MSC:  AACSB Reflective Thinking | TB&E Model Strategy | Knowledge of Strategy & Innovation

 

21. With self-service, the _____ of the service encounter is reduced by the standardization of the equipment.

a.	purchaser	c.	desirability
b.	provider	d.	variability

 

 

ANS:  D                    PTS:   1                    REF:   Page 57

MSC:  AACSB Reflective Thinking | TB&E Model Product | Generative Thinking

 

22. Good variability consists of

a.	errors in the system, logistics, human resources and marketers want to reduce this variability.
b.	the customization and tailoring of the service delivery for the customer’s unique needs.
c.	a service provider representing the company.
d.	advancing in many industries wherein a customer interacts with technology, banking, airport check-in, etc.

 

 

ANS:  B                    PTS:   1                    REF:   Page 58

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Knowledge of General Business Functions

 

23. Many hoteliers no longer claim that they merely offer lodging.  Instead, they now stake claims as premier travel providers.  This is done to avoid the mistake of defining their core business

a.	too confusingly.	c.	too strategically.
b.	too abstractly.	d.	too technically.

 

 

ANS:  B                    PTS:   1                    REF:   Page 58

MSC:  AACSB Reflective Thinking | TB&E Model Customer | Knowledge of Human Behavior & Society

 

24. A _____ is comprised of several product lines that can vary in width and depth.

a.	product mix	c.	company
b.	marketing mix	d.	service

 

 

ANS:  A                    PTS:   1                    REF:   Page 60

MSC:  AACSB Reflective Thinking | TB&E Model Product | Knowledge of General Business Functions

 

ESSAY

 

1. Explain what a product is.  Give examples.

 

ANS:

A “product” is the general term used to express both goods (e.g., shoes, cars, condos) and services (e.g., health care, information, trips to museums). Sometimes the term product is also used as a more general term, referring to the full product profile; that is, the entire market offering, including not just the product itself but also its price, the image of the brand, etc. The product is the most central of the 4Ps, the ultimate thing the customer is purchasing.

 

Examples will vary.

 

PTS:   1                    REF:   Page 53

MSC:  AACSB Reflective Thinking | TB&E Model Product | Knowledge of General Business Functions

 

2. Identify and discuss the three types of products.

 

ANS:

Marketers have traditionally distinguished types of products that customers can buy. For consumers, the three kinds of products are convenience, shopping and specialty purchases.  The distinction is more in the minds of the customers and their involvement than a characteristic inherent to the product itself.  For example, the purchase of toothpaste might be “convenience” when shoppers mindlessly pop a tube of their usual brand into their grocery cart; it might be a “shopping purchase” when customers see a new offering that they consider trying, and it might be a “specialty purchase” when customers see an expensive brand that promises whiter-teeth that they choose to read up on before purchasing.

 

PTS:   1                    REF:   Page 54

MSC:  AACSB Reflective Thinking | TB&E Model Product | Knowledge of General Business Functions

 

3. Discuss the concepts related to the goods-to-services continuum.

 

ANS:

The goods-to-services continuum is related to the concepts of search, experience, and credence. Search qualities are those attributes that may be evaluated prior to purchase, as the customer learns about the competitive offerings. Experience attributes are those that require some trial or consumption before evaluation. Credence qualities are those that are difficult to judge, even post-consumption, hence the term “credence”—you just have to trust or believe that the quality is good.

 

PTS:   1                    REF:   Page 56

MSC:  AACSB Reflective Thinking | TB&E Model Marketing Plan | Managing Strategy & Innovation

 

4. How do goods differ from services?

 

ANS:

Marketers have always talked about goods and services being on a continuum. Some goods seem to be pure goods (e.g., blue jeans, DVDs), and some services seem to be pure services (e.g., consulting, rock concerts). Other purchases seem to be a mix of good and service (e.g., car rentals). The key seems to be the extent to which the purchase is tangible. Services differ from goods in other ways. Services are simultaneously produced and consumed. Whereas goods can be manufactured and then inventoried in distribution warehouses, most services have to be created on the spot in the presence of the customer. For example, you have to be present to have your hair cut. This inseparability of production and consumption inevitably results in more perishable services. The final major difference between goods and services is that services are said to be more variable.

 

PTS:   1                    REF:   Pages 56-57

MSC:  AACSB Reflective Thinking | TB&E Model Product | Foundational Skills

 

5. Discuss the concept of self-service and how it allows marketers to reduce variability.  Explain good vs. bad variability in service encounters.

 

ANS:

Self-service is advancing in many industries wherein a customer interacts with technology, e.g., banking, airport check-in, prescription renewals, etc. These marketing exchanges occur between a person and a machine, so the variability of the service encounter is reduced by the standardization of the equipment. Bad variability involves errors in the system (e.g., poor customer service), and logistics and human resources and marketers want to reduce this variability. Good variability involves the customization and tailoring of the service delivery for the customer’s unique needs. Not surprisingly, it often enhances customer satisfaction. Automated services are usually introduced to reduce the errorful, bad variability. With time, and as menus become more sophisticated with more options, it is conceivable that good variability may also be enhanced (at least for customers who can deal with the technology).

 

PTS:   1                    REF:   Page 57

MSC:  AACSB Reflective Thinking | TB&E Model Customer | Strategy & Innovation