Chapter 12.2

Question 0

Product mix

Answer 0

Is the assortment of product lines and individual goods and services that a firm offers to consumers and business users.

Question 1

Product line

Answer 1

Is a group of related products marked by physical similarities or intended for a similar market.

Question 2

Product life cycle

Answer 2

Four stages: introduction, growth, maturity, and decline

Question 3

Introduction stage

#1 product life cycle

Answer 3

The firm tries to promote demand for its new offering. Ex: inform market about it, give free samples to consumers so they could make a trial purchase, etc.

Question 4

Growth stage

#2 product life cycle

Answer 4

Sales climb quickly as new customers join early users who now are repurchasing the item.

Question 5

Maturity stage

#3 product life cycle

Answer 5

Sales at first increase, but they eventually reach a saturation level at which further expansion is difficult.

Question 6

Decline stage

#4 product life cycle

Answer 6

Sales continue to fall, profits decline and may become losses as further price-cutting occurs in the reduced overal market for the item.

Question 7

Concept testing

Answer 7

Marketing research designed to solicit initial consumer reactions to new-product ideas.

Question 8

Test marketing

Answer 8

Introduces a new product supported by a complete marketing campaign to a selected city or TV coverage area.

Question 9

Brand

Answer 9

Is a name, term, sign, symbol, design, or some combination that identifies the products of one firm and differentiates them from competitors offerings.

Question 10

Brand name

Answer 10

Is that part of the brand consisting of words or letters included in a name used to identify and distinguish the firms offerings from those of competitors.

Question 11

Trademark

Answer 11

Is a brand that has been given legal protection. The protection is granted solely to the brands owner.

Question 12

Manufacturers (National) brand

Answer 12

A brand offered and promoted by a manufacturer.

Ex: Tide, Cheerios, Windex, Fossil and Nike.

Question 13

Private (Store) brand

Answer 13

Identifies a product that is not linked to the manufacturer but instead carries a wholesalers or retailers label.

Ex: Sears Craftsman tools and Walmart Ol’Roy dog food.

Question 14

Family brand

Answer 14

Is a single brand name used for several related products. Ex: KitchenAid, Hewlett-Packard, Arm & Hammer.

The promotion of individual products within a line benefits all the items because the family brand is well known.

Question 15

Individual branding

Answer 15

By giving each product within a line a different name.

Ex: Procter & Gamble and it’s individual brand name detergents including, Tide, Cheer, Dash.

Question 16

Brand recognition:

Stage 1 of Brand Loyalty

Answer 16

Is brand acceptance strong enough that the consumer is aware of the brand, but not strong enough to cause a preference over other brands.

Question 17

Brand preference:

Step 2 of Brand Loyalty

Answer 17

Occurs when a consumer chooses one firms brand over a competitors.

Question 18

Brand insistence:

Stage 3 of Brand Loyalty

Answer 18

Is the ultimate degree of brand loyalty, in which the consumer will look for it at another outlet, special-order it from a dealer, order by mail, or search the internet.