Multiple-Choice Questions: Please Choose ONE best answer for each question. 10 Marks

1. Within the new product development process, an attractive idea must be developed into a ________.

1. Product differentiation
2. product concept
3. product image
4. test market

2. A ________ consists of all the product lines and items that a particular seller offers for sale.

1. product mix
2. brand line
3. consumer mix
4. packaging mix

3. Lexus targets wealthy consumers with similar needs and buying behaviors, even though the consumers are located in different countries. This is an example of ________.

1. intermarket segmentation
2. loyalty segmentation
3. life-cycle segmentation
4. targeting segmentation

4. One of the following is not an aspect of evaluating marketing segments in the process of setting up a targeting strategy:

1. identifying company objectives and resources
2. studying segment size and growth
3. examining segment structural attractiveness
4. deciding on how many segments to target

5. One of the following is a function of a products label:

1. protects the contents
2. describes several things about the product
3. ensures product and user/child safety
4. provides convenience and ease of use

6. A ________ involves the use of a successful brand name to launch new or modified products in a new category.

1. line extension
2. product line
3. brand extension
4. private brand

7. A company should set prices that will allow ________ to receive a fair profit.

1. resellers
2. producers
3. consumers
4. the elderly

8. A review of the sales, costs, and profit projections for a new product to find out whether they satisfy the company's objectives is called a ________.

1. business feasibility plan
2. market strategy development
3. business analysis
4. product acceptance

9. Introducing a new product into the market is called ________.

1. test marketing
2. new product development
3. experimenting
4. commercialization

10. ________ are consumer products that the consumer either does not know about or knows about but does not normally think about buying.

1. line extensions
2. specialty products
3. unsought products
4. shopping products