Chapter 9Market Segmentation, Targeting, and Positioning

1. Business products may be identified as: a. goods and services purchased for use either directly or indirectly in the production of other goods and services for resale. b. products of any kind bought for use in the home but sold later as used items. c. products, such as legal services, that can be bought by businesses or individuals but do not enter into the production of finished goods. d. products sold in a finished state for use in the home or the business office. 2. Goods and services purchased by the ultimate consumer for personal use are called _____ products. a. personal b. purchased c. consumer d. commercial 3. The determination of whether pencils are consumer products or business products is based on: a. the purpose for which the pencils are purchased. b. the number of pencils purchased. c. where the pencils are purchased. d. the total price paid for the pencils. 4. Kyle plans to buy new tires for a converted bus his family uses for camping trips. The tires are the same type used on General Motors commercial trucks and can be purchased from Industrial Tire Company. The tires that Kyle will buy for this bus are classified as _____ products. a. business b. service c. commercial d. consumer 5. The lumber a carpenter purchases to finish out a basement is known as a: a. semi-finished good. b. business product. c. consumer good. d. final product. 6. Generally speaking, rubber and raw cotton are examples of: a. business products. b. consumer products. c. fabricated materials. d. non-personal products. 7. When one product becomes part of another product that is destined for resale, the first product is considered: a. a consumer product. b. a business product. c. a primary product. d. a used product.

8. The division of the total market into smaller, _____ groups is called market segmentation. a. equivocal b. randomly selected c. relatively homogeneous d. conveniently stratified 9. Concerning market segmentation, all of the following statements are correct except: a. only for-profit organizations practice market segmentation. b. firms that practice market segmentation dont necessarily change their products to meet the needs of different market segments. c. there are too many variables to attract all customers using the same marketing mix. d. market segmentation attempts to divide the total market into smaller groups.

10. Which of the following is a basic requirement for effective market segmentation? a. The firm must avoid focusing on non-variables, such as profitability and volume. b. The market segment must have measurable purchasing power and size. c. The company must expand beyond its marketing capabilities to capture growing markets. d. The market segment must reflect the population's changing attitudes and lifestyles. 11. Which of the following is the most appropriate list of criterions for effective market segmentation? a. concentrated buyers, purchasing power low, lower profits but higher volumes, occasional but loyal buyers b. measurable purchasing power, residing in core regions, high volume buyers, seasonal or occasional c. lucrative market segment, scattered buyers, market strength beyond companys capability, low profits with high volumes d. segments match marketers capability, measurable purchasing power, effectiveness to serve the segment, good profit potential 12. In terms of total population, the United States is ranked _____ in the world. a. tenth b. first c. third d. fifth 13. _____ is the largest metropolitan area in the world. a. New York b. Tokyo c. Mexico City d. London 14. The Fayetteville-Springdale-Rogers region of Arkansas has approximately 340,000 people. Fayetteville alone has a population of 60,000. This region would be classified as a: a. consolidated metropolitan statistical area (CMSA). b. primary metropolitan region (PMR). c. metropolitan statistical area (MSA). d. micropolitan statistical locale (MSL). 2

15. An urbanized county or set of counties with social and economic ties to nearby areas is called as _____. a. consolidated micropolitan statistical area b. primary metropolitan statistical area c. core based statistical area d. consolidated metropolitan statistical area 16. The statistical area defined to include two or more primary metropolitan statistical areas (PMSA) is known as a: a. consolidated metropolitan statistical area (CMSA). b. consolidated regional locale (CRL). c. consolidated metropolitan district (CMD). d. metropolitan statistical area (MSA). 17. Japanese automaker, Subaru, generates approximately one-half of its sales in just four states (Alaska, Colorado, Maine, and Washington). These states constitute Subarus: a. primary market. b. core region. c. secondary market. d. sales region. 18. Domino's succeeds in physically delivering more than 1.3 million pizzas to American homes during the Super Bowl because of: a. advertising shown during the game. b. written reports about peak and off-peak periods from area managers. c. the measures undertaken for brand-building a week before the event. d. a geographic information system that spatially locates every destination for delivery. 19. Geographic Information Systems (GISs) are: a. very expensive to use because of the high cost of leasing it from the military. b. not yet being used by marketing firms to the full potential of the technology. c. very sophisticated digital readouts that require three-dimensional color coding to read. d. complicated to use because the data is produced using logarithmic displays that most small computer systems cannot handle. 20. The most common method of market segmentation is: a. product sampling. b. demographic segmentation. c. economic segmentation. d. psychographic segmentation. 21. Socioeconomic market segmentation is another name for _____ segmentation. a. product-related b. demographic c. psychographic d. geographic 22. All of the following statements are true regarding socioeconomic market segmentation except that: 3

a. it is the most common type of market segmentation. b. it is easy to accomplish in foreign markets where data on factors like income and life cycle stages are not measured. c. it is defined by variables that include age, gender, income, occupation, and education. d. it is most often compiled through data taken from the U.S. Census. 23. What is stereotyping? a. A concept that can help attract more markets than what was initially planned b. Manipulating the segmentation data for gaining favorable outcomes c. A preconception about a group of people which can alienate a potential market d. The merging or mixing of segments as per marketers preferences

24. A _____ is an example of a product which has target markets differentiated by age groups. a. headache remedy b. breakfast cereal c. light bulb d. laundry detergent 25. Tweenssometimes also called preteensand teens are a rapidly growing market which is about 71 million strong. The marketers, in one word, would describe this group as _____. a. self-sufficient b. generation X c. interactive d. baby boomers 26. Which of the following age groups would marketers of life insurance most likely target? a. Baby Boomers b. Teenagers c. Over 60 years old d. Between 25 and 35 27. In terms of numbers, which age group is the largest? a. Baby Boomers b. Generation X c. 9/11 Generation d. World War II Generation 28. The cohort effect describes: a. why members of the same psychographic group decide to vote the same way and have a lot of similarities in their choices. b. how Generation X uses its financial power to influence product trends, and are closely followed by the marketers. c. the predictability of demographic characteristics in analyzing purchase habits, product usage rates, and brand preference. d. the tendency of members of a generation to be influenced and bound together by events occurring during the key formative years when they were 17 to 22 years of age.

29. Ford Motor Company surveyed 10,000 customers to analyze their needs and preferences in automobiles. At the end of the survey, respondents were asked to provide demographic information, including age. Responses concerning preferences were strikingly similar for each group within a specific five-year age range. This result is called the _____ effect. a. income b. life cycle c. cohort d. Hafner's 30. A considerable part of the U.S. population growth and change in America's racial and ethnic make-up is attributable to: a. NAFTA and CAFTA-DR agreements. b. immigration and higher birthrates among some minority groups. c. shifts in population to urban areas. d. increasing birth rate for the entire population.

31. Places where more than half the population is a single racial or ethnic group other than non-Hispanic white are called as _____. a. minority counties b. majority-minority counties c. majority counties d. native-majority counties 32. According to a recent study, the buying power of _____ is rising at a rate nearly triple that of the national average. a. African Americans b. Native Americans c. Asian Americans d. Hispanics 33. Compared with other ethnic groups, Asian Americans represent the _____ growing population, and are _____ geographically concentrated than other minority groups. a. slowest; less b. slowest; more c. second fastest; less d. second fastest; more 34. The family life cycle: a. is a way to apply psychographic segmentation. b. refers to the process of family formation and dissolution. c. provides insights into relationships among age, occupation, income, and housing. d. is composed of the 11 stages of personal growth from infancy to retirement. 35. Life cycle stages include all of the following except: a. unmarried. b. first child. c. remarried. d. empty nesters. 5

36. An observed change in family life cycle behavior noted by researchers in the past decade has been the tendency of: a. unmarried people as customers of new homes and expensive furnishings. b. newly married people cooking almost every meal at home instead of dining out. c. boomerang children returning home, sometimes with their own families. d. parents with a second or subsequent child buying new sets of cribs, changing tables, and so forth. 37. One of the reasons cited by the Department of Commerce for the trend toward smaller households is: a. adult children leaving home to get married and start households of their own. b. the increase in same-sex couples. c. the high cost of living. d. the frequency of divorce. 38. Which of the following has been the result of a rise in single-person households? a. Increase in apartment building developments b. Decrease in the average size of new cars c. Decrease in the marketing of vacations d. Increase in single-serve food products 39. According to Engel's laws: a. as household income increases, the percent spent on recreation and education increases. b. as household income increases, the percent spent for clothing and household operations increases. c. as household income increases, the percent spent for food and medical items increases. d. as household income decreases, the percent spent on housing and food decreases. 40. Five years ago, Joshua spent 28 percent of his $45,000 yearly income on his bachelor apartment. Today, Joshua is earning $60,000 annually. According to Engel's laws, the percentage of income he will spend on his new apartment will be: a. more than 70 percent. b. the same as it was back then -- about 28 percent. c. about 50 percent. d. less than 10 percent. 41. Using demographic segmentation abroad is: a. challenging because many countries do not take regular censuses. b. standardized, with most countries using guidelines set by the UN. c. simplified due to the wealth of income data available in certain countries, such as Italy and Japan. d. sometimes controversial because the integrity of the data can be questioned. 42. Psychographic segmentation is based on: a. the quantitative side of consumer demographic analysis. b. the quantitative side of consumer geographic analysis. c. individuals' residential patterns and life cycle preferences. d. grouping people according to their values and lifestyles. 6

43. VALS defines eight personality types that impact purchasing decisions. Which set of traits is not a part of the VALS matrix? a. Achievers and Strivers b. Innovators and Survivors c. Thinkers and Believers d. Creators and Definers 44. The VALS framework displays differences in resources as vertical distances, whereas _____ is represented horizontally. a. eagerness to buy b. primary motivation c. income d. education 45. In the VALS system, action-motivated consumers are those who: a. have a set of ideas and morals or principles they live by. b. are influenced by symbols of success. c. seek physical activity, variety, and adventure. d. have high energy level and are eager to buy products. 46. Psychographic segmentation of global markets undertaken by RoperASW across 35 countries observes that the most common segment in Africa, the Middle East, and developing Asia is that of _____. a. intimates b. altruists c. devouts d. fun seekers 47. As per the studies conducted by Roper, the largest segment that values professional and material goals more than other group is the segment called: a. strivers. b. devouts. c. altruists. d. fun seekers. 48. Which type of segmentation is generally a good supplement to segmentation by demographic or geographic variables? a. Socio-economic b. Psychographic c. Product-related d. Price-related 49. As per RoperASWs psychographic consumer segments, the group that seeks education, technology, and knowledge, and where the malefemale ratio is roughly equal is called _____. a. devouts b. altruists c. creatives d. strivers

50. Segmentation by benefits is a type of product-related segmentation used to: a. determine the marketer's effectiveness in satisfying the consumer. b. measure brand loyalty and consumer perception. c. re-evaluate the customer reactions post-consumption. d. focus on the attributes that people seek in a product. 51. The product-related segment of the consumer market based on the attributes people seek when they buy a product is called the _____ segment. a. price-shopper b. lifestyle c. expenditure pattern d. benefits-sought 52. The 80/20 principle states that: a. market segmentation succeeds 80 percent of the time and fails the remaining 20 percent of the time. b. roughly 80 percent of total product sales come from 20 percent of customers. c. 80 percent of the market segment is tapped, and 20 percent has not yet been reached. d. 80 percent of the market can be segmented, and 20 percent cannot. 53. Product-usage segmentation can be an important tool for marketers as they attempt to: a. eliminate competition and target the competitors loyal customers. b. identify heavy users and lure them away from a competitive brand. c. reduce costs from 80 percent to 20 percent. d. increase profitability and improve the product benefits. 54. The product-related segmentation of consumers based according to the strength of their attachment and allegiance to their preferred products is called _____ segmentation. a. values and lifestyles b. business-to-business c. psychographic d. brand loyalty 55. Before beginning the market segmentation process, a firm should: a. identify bases for segmenting markets. b. forecast total market potential. c. forecast market share. d. select target market segments. 56. CoreLogix Inc., have segmented the market as per product usage rates. They have also developed the relevant profile for each of their segments. What would be the next logical step for them in this process of segmentation? a. Commit resources in developing one or more segments b. Forecast market potential c. Forecast probable market share d. Design specific marketing strategy

57. While researching an idea of opening his own health club, Tom learned there are 11 million health club members in the United States, and 90 percent of them are between the ages of 18 and 49. They prefer to exercise with people of their own sex, are more likely to buy foreign brand cars, and are urban dwellers. Tom has assembled information he can use in: a. observational analysis. b. marketing research. c. forecasting total market potential. d. developing a market segment profile. 58. The factor that sets the upper limit on demand generated by a particular market segment is: a. market potential for the segment under analysis. b. market share held by the firm. c. geographic dispersion of potential customers. d. lifestyle characteristics of area population. 59. In the process of market segmentation, once market potential has been estimated, the next step is to: a. forecast probable market share. b. determine potential sales. c. develop a marketing mix. d. seek strategies to meet the outcomes. 60. In the market segmentation process, demand forecasts and cost projections are used to determine the profit and return on investment that can be expected from: a. certain demographics. b. each market segment being considered. c. the overall population. d. the general marketing mix. 61. Laura is an independent strategy consultant. While guiding her clients company through the market segmentation process, she recently questioned whether the potential for achieving company goals justified committing resources to develop the market segments they were considering. At what stage of the market segmentation process is the company in? a. Estimating cost-benefit for each segment b. Developing a relevant profile for each segment c. Forecasting market potential d. Selecting specific market segments 62. The best choice of product to market using an undifferentiated marketing strategy would be: a. luxury automobiles. b. healthy snack foods. c. table salt. d. imported wine. 63. An undifferentiated marketing strategy: a. serves the consumer better because the products offered are designed to meet the needs of a specific group of people. b. benefits from the control and efficiency of short production runs. c. is able to compete effectively because it is able to capture high profits in small segments of the market. 9

d. is efficient from a production and promotional point of view. 64. The strategy sometimes referred to as mass marketing is also known as: a. concentrated marketing. b. macromarketing. c. undifferentiated marketing. d. differentiated marketing. 65. Abecrombie and Fitch markets apparel to children, teens, and adults through two different storefronts called Abecrombie and Fitch and Abecrombie. This practice is called: a. undifferentiated marketing. b. differentiated marketing. c. mass marketing. d. micromarketing. 66. Compared to undifferentiated marketing, the firm that practices differentiated marketing may generally expect: a. less sales by segment. b. lower total production costs. c. greater total promotional costs. d. lower inventory costs. 67. Which of the following statements regarding differentiated marketing is not correct? a. Most companies practice some form of differentiated marketing. b. Homogeneous products never need differentiated marketing. c. Competitive pressures sometimes drive a company from undifferentiated toward differentiated marketing. d. A company can sometimes market the same product to different segments just by changing the promotional strategy. 68. A company that chooses to focus its efforts on satisfying only one market segment for profit is using a _____ strategy. a. niche marketing b. elimination marketing c. undifferentiated marketing d. designer marketing 69. A firm that chooses to target potential customers by zip code, specific occupation, or even lifestyle can be said to be practicing: a. megamarketing. b. hypermarketing. c. micromarketing. d. concentrated marketing. 70. Micromarketing techniques are used: a. mainly to target very specific groups or individuals. b. mostly by mass marketers. c. generally by vendors of industrial goods. 10

d. primarily to sell services or other intangibles. 71. What interactive medium helps micromarketers boost the effectiveness of their strategy by tracking specific demographics and communicating directly with individuals who are most likely to buy that product? a. Direct mail marketing b. Internet, Online marketing c. Personalized telemarketing messages d. Fax marketing 72. The four basic determinants of a market-specific segmentation strategy include company resources, product homogeneity, stage in the product life cycle, and: a. product demand. b. competitors' strategies. c. environmental constraints. d. organizational efficiencies. 73. The latest ad of Crest toothpaste says Crest is a cavity fighter. This is an example of a positioning strategy based on: a. product price/quality. b. product class. c. product attributes. d. product users. 74. You don't pay more, but you get more is an example of which of the following positioning strategies? a. Price/quality b. Attributes c. Users d. Competitors 75. The tagline used by Omega watches, We measure the 100th of a second that separates winning from taking part. is an example of which of the following positioning strategies? a. Attributes b. Users c. Price/quality d. Competitors 76. Porsches There is no substitute is an example of which of the following positioning strategies? a. Product class b. Product users c. Price/quality d. Attributes 77. Which of the following would be a good example of a product user positioning strategy? a. Chef Plauch of Galatoire's offers cuisine to please the most finely tuned palate. b. Feed the whole family and dont break the bank at Jaeger's Homestyle Restaurant. c. Bobs Rib House award-winning barbeque ribs -- the biggest and best in town! 11

d. Dinners on the Go offers complete nutritious meals delivered right to your door. 78. Marketers applying a positioning strategy want to: a. make their product look as much like the market leader as possible. b. emphasize a product's unique advantages and differentiate it from competitors' options. c. make sure they clearly outline the product's possible applications. d. talk to specific, known users of the product. 79. Which of the following positioning category is used by retail stores run by companies like Target Corporation? a. Attributes b. Competitors c. Price/quality d. Application 80. A positioning map: a. is used primarily by companies utilizing undifferentiated marketing strategies. b. will remain constant through the entire product life cycle. c. shows how consumers view a product relative to competitive products. d. outlines how to introduce a new product to the marketplace. 81. A marketer may change segmentation strategy: a. if the company should go through internal changes in systems and operations. b. relative to the positions of competing products. c. on the spontaneity of the top-level management executives. d. when the company realizes they have successfully reached their target market.

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Chapter 10Relationship Marketing and Customer Relationship Management (CRM)

1. _____ marketing is the development, growth, and maintenance of cost-effective, high-value relationships with individual customers, suppliers, and other partners over time. a. Relationship b. Transaction-based c. Interactive d. Social 2. Which of the following marketing exchanges is most likely to be transaction-based? a. Golf club membership b. Buying property from a real estate agent c. Medical care for a person with a chronic illness d. Service from a lawn and garden company 3. An organizational culture steeped in customer orientation is more likely to be: a. old-fashioned and traditional. b. subjected to high turnover because of disgruntled employees. c. focused on achieving higher customer turnovers for its services. d. relationship oriented rather than transaction-based. 4. One of the characteristics of relationship marketing is: a. the short-term goal of creating an immediate sale. b. consolidating purchases based on promotions and other inducements. c. an orientation toward added value through superior customer service. d. longer distribution channels between suppliers and buyers. 5. All of the following are characteristics of relationship marketing except: a. long-term orientation. b. emphasis on retaining customers. c. non-intrusive and infrequent customer contact. d. high degree of customer commitment to the firm. 6. Relationship marketing implies: a. foregoing technology in favor of one-on-one communication. b. an emphasis on new customers. c. a company-wide commitment. d. closer ties with customers than with suppliers. 7. Managerial actions that enable all members of an organization to understand, accept, and fulfill their respective roles in implementing marketing strategy are collectively referred to as _____. a. operational effectiveness b. employee orientation c. internal marketing d. strategic positioning 13

8. Internal marketing programs: a. attempt to create satisfied employees. b. encourage employees to view each other as competitors. c. require firms to share resources with business partners. d. help translate product-orientation into customer-orientation. 9. Which of the following is an important goal of internal marketing? a. Customer satisfaction b. Vertical integration c. Retention of customers d. Employee involvement 10. What is a potential drawback of a company focusing on price? a. It makes advertising and promotional expenses worthless. b. It doesnt provide the firm with a competitive advantage. c. It does not encourage creativity in advertising. d. It will not motivate customers to enter into a long-term buying relationship. 11. An example of a first-level relationship marketing program would be a(n): a. fan club for a famous entertainer. b. high-school alumni association. c. club for owners of a particular model of car. d. two-for-one deal on airline tickets. 12. Which of the following is not part of the relationship marketing continuum? a. Focus on price b. Social interactions c. Customer evaluation d. Interdependent partnerships 13. At the second level of the development of a buyer-seller relationship, the focus is on: a. price and other financial incentives. b. reaching out to the customer with social interaction. c. structurally transforming the relationship into an interdependent partnership. d. analyzing data from the initial purchase to determine the chance of a repeat sale. 14. The type of interaction created by a second-level relationship marketing program is usually: a. social. b. financial. c. structural. d. notional. 15. Cannondale Bicycles has an owners group called The Chain Gang. Members receive e-mails listing cycling-related tips, as well as access to a special Web site. This is an example of the _____ level of relationship marketing. a. first b. second c. third 14

d. fourth 16. Which of the following is not a feature of the third level of relationship marketing? a. Primary bond is structural. b. Degree of customization is medium to high. c. Potential for sustained competitive advantage is low. d. Buyer and seller are true partners. 17. Third-level relationship marketing programs usually aim to create: a. social interaction. b. financial interaction. c. interdependent partnership. d. viral advertising. 18. An example of a typical third-level relationship marketing program would be a(n): a. health-awareness campaign organized by a food-supplement manufacturer. b. frequent user or frequent flyer program. c. airline offering in-flight media and new international connections. d. giveaway of tickets to a trade show passing through town. 19. The first step in measuring customer satisfaction is: a. testing market response for new products through controlled experiments. b. hiring a first-rate market research firm. c. finding out what customers need, want, and expect. d. mining the Web for blogs and discussion groups to obtain customer feedback. 20. _____ describes the extent to which buyers of a product or a service are content with their purchases. a. Customer satisfaction b. Average propensity to consume c. Customer lifetime value d. Market cognizance 21. Which of the following statements regarding customer satisfaction is true? a. Marketers must adhere to traditional performance measures to formulate customer-based missions and goals. b. Customers have greater loyalty to a company after a conflict has been resolved than if they had never complained at all. c. As happy customers typically talk about their buying experiences more than unhappy customers do, the cost of dissatisfaction can be rather low. d. Any method that makes it easier for customers to complain ends up demonstrating the ineptitude of a firm. 22. Proactive methods a firm might use to assess customer satisfaction would include: a. visiting, calling, or mailing written surveys to clients. b. setting up customer service helplines to receive customer complaints. c. offering gifts and reward points to appease a dissatisfied customer. d. monitoring Usenet and other Web discussion groups to track customer comments. 23. Why do customers prefer to have continuing relationships with businesses or suppliers? a. Businesses tend to offer better financial incentives to customers who engage in continued relationships with them. b. By nature, customers are resistant to change and prefer preexisting relationships with 15

businesses. c. By reducing the number of choices, the decision-making process is made easier. d. Most businesses have low switching costs which make them attractive to have continued relationships with. 24. The term _____ describes the turnover in a companys customer base. a. consumption audience b. customer lifetime value c. disintermediation d. customer churn 25. An Internet service provider (ISP) loses approximately 12 percent of its existing customers every year. The ISP is said to be experiencing: a. market reorganization. b. customer churn. c. intangibility. d. disintermediation. 26. Best Buy Rewards Program tracks customer sales, and periodically issues coupons to customers based on prior purchases. This program is classified as _____ marketing. a. affinity b. database c. frequency d. social 27. Which of the following is an example of affinity marketing? a. University of Iowa branded credit card b. Hallmarks Gold Crown card c. Blockbuster Rewards video card d. United Airlines Mileage Plus program 28. A marketing effort sponsored by an organization that solicits responses from individuals who share common interests and activities is called _____ marketing. a. frequency b. affinity c. internal d. inclusive 29. _____ marketing is an information-based approach that collects infinite amounts of data that must be mined for specific information about markets and consumers. a. Frequency b. Affinity c. Database d. Customer service 30. Properly used, databases have the capacity to: a. predict the exact amount of a customer's next purchase. b. normalize the buying power of a companys customers. c. determine a companys share of the customers wallet. 16

d. identify a firm's most profitable customers. 31. Which of the following is not a data source available to commercial database users? a. Credit card applications b. Sweepstakes entry forms c. Software registration d. Income tax filings 32. _____ marketing programs are designed to reward top customers with cash, rebates, merchandise, or other premiums. a. Frequency b. Social c. Mobile d. Affinity 33. Which of the following organizations is most likely to use frequency marketing programs? a. Boston Red Sox b. American Insurance Group c. Southwest Airlines d. Trump Organization 34. _____ assist marketers by providing software when it is needed to capture, manipulate, and analyze consumer data. a. Application service providers b. Data aggregators c. DBMS administrators d. Data harvesters 35. _____ involves connecting directly with existing and potential customers through nonmainstream channels. a. Grassroots marketing b. Interactive marketing c. Viral marketing d. Buzz marketing 36. A program that enables satisfied customers to get the word out about products to other consumers is called _____ marketing. a. grassroots b. viral c. frequency d. affinity 37. YouTube offers viewers the option to share a video they have watched by sending it to one or more contacts in their e-mail address books. Using one visitor to reach many people is a form of _____ marketing. a. frequency b. viral c. grassroots d. lateral 38. _____ gathers volunteers to try products and then relies on them to talk about their experiences with friends and colleagues. 17

a. b. c. d.

Grassroots marketing Frequency marketing Affinity marketing Buzz marketing

39. Which of the following concepts is the idea behind buzz marketing? a. Supply and demand b. Word-of-mouth c. Customer empowerment d. Long-term product viability 40. The grassroots approach relies on marketing strategies that are: a. traditional. b. conventional. c. moderately expensive. d. flexible. 41. Customer relationship management is: a. the process of maintaining good relationships between all wholesalers and/or retailers in the distribution channel. b. a process used to retain customers by offering lower prices on the purchase of specific products or services. c. a network of interconnected businesses involved in the ultimate provision of products and services required by end customers. d. the process of re-orienting a business to a concentrated focus on satisfying customers. 42. Which of the following is a quality of successful CRM systems? a. They improve customer service by decentralizing data. b. They bring down a firms reliance on expensive word-of-mouth marketing. c. They expand the response time for customer queries and increase their satisfaction. d. They empower customers to find information they need to manage their own orders. 43. Which of the following statements about customer relationship management systems is true? a. Purchasing a CRM system allows a firm to expand and customize, whereas hosted systems are more limited. b. Customer relationship management systems tend to complicate simple business processes while keeping the best interests of customers at heart. c. They improve customer service by decentralizing data and help customers find information they need to manage their own orders. d. Purchasing customized systems can cost millions of dollars, but are quicker to implement as compared to cheaper hosted solutions. 44. Which of the following industries experiences the highest annual customer defection rates? a. Banking b. Automobiles c. Financial and mortgage services d. Wireless telecommunications

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45. A leading detergent brand receives complaints from its customers that the chemicals used are too strong and dangerous, and they do not smell good. To counter this, the company runs a series of ads showing its experts approaching select customers with an improved detergent that addresses the concerns of the customers. The company is engaging in: a. controlled experimentation. b. viral marketing. c. buzz marketing. d. customer win-back. 46. Which of the following parts of the CRM strategy refers to the process of rejuvenating lost relationships with customers? a. Customer retention b. Customer acquisition c. Customer win-back d. Customer orientation 47. Which of the following would be the most desired effect in the development of a buyer-seller relationship between two companies? a. Increase in inventories b. More favorable financing terms c. Decreased competition d. Longer distribution channels 48. The first priority in the decision to form a partnership is to locate companies that: a. can add value to the relationship. b. have longer distribution channels than their competitors. c. are focused on product-orientation. d. are aligned to be operatively effective, as against being strategically positioned. 49. _____ is a relationship involving long-term exchanges of goods or services in return for cash or other valuable consideration. a. Buyer partnership b. Seller partnership c. Internal partnership d. Lateral partnership 50. An internal partnership involves: a. customers within an organization. b. competitors who form a monopoly. c. an oligopoly which raises the barriers to entry. d. no direct buyer-seller interactions. 51. A biotechnology company and a medical school have formed a partnership to develop a new class of cancer-fighting drugs. This is a(n) _____ partnership. a. buyer b. seller c. internal d. lateral 19

52. One of the motives that prompt firms to enter into partnerships is: a. creating longer distribution channels. b. raising barriers to entry. c. promoting the use of technology to facilitate customer orientation. d. achieving vertical and horizontal integration. 53. The Eddie Bauer edition of the Ford Explorer is an example of: a. cobranding. b. comarketing. c. lateral partnership. d. internal partnership. 54. _____ is a cooperative arrangement in which two businesses jointly promote each others products. a. Bundling b. Product churning c. Comarketing d. Seller lock-in 55. _____ is a promotional effort that involves assigning a dedicated sales teams to a firms major customers to provide sales and service. a. National account selling b. Quick-response merchandising c. Vendor-managed inventory d. Collaborative planning 56. One of the advantages of national account selling is: a. the buyer's ability to demonstrate its depth of commitment to the seller. b. a strengthened buyer-seller relationship through collaboration. c. increased inventory turnover for the firm. d. lower switching costs for a firms major customers. 57. Compared with the traditional system of business-to-business communication, electronic data interchange (EDI): a. has a smaller capacity to gather marketing information. b. improves the firms efficiency and competitiveness. c. involves data duplication at many points. d. is currently inefficient until the system can be updated. 58. Many B2B firms that sell to the federal government are known to establish sales offices in and around the Washington area. This is an example of: a. vertical supply chain integration. b. strategic positioning. c. quick-response merchandising. d. national account selling. 59. Whirlpool and Sears are working together on a collaborative effort involving forecasting, planning, and replenishment of merchandise in the store. The two companies are utilizing: a. comarketing. b. CPFaR. 20

c. supply chain management. d. VMI. 60. A firm can improve the speed and efficiency of its supply chain operations by: a. cultivating its upstream relationships and putting pressure on its downstream ones. b. sacrificing the needs of upstream members of the chain in favor of those downstream. c. keeping communication with suppliers to a minimum to avoid company leaks. d. coordinating its operations with those of other members of the chain. 61. Which of the following is an important competitive advantage that results from effective supply chain management? a. Variable costs b. Lower costs of product innovation c. Improved conflict resolution within the chain d. Autonomy and independence among the members 62. The ultimate expression of relationship marketing in the business-to-business sector is a(n): a. cartel. b. strategic alliance. c. monopolistic competition. d. oligopoly. 63. Strategic alliances are formed to: a. satisfy corporate officers. b. avoid problems related to anti-trust legislation. c. create a competitive advantage. d. present a united front to labor unions. 64. When partners in a strategic alliance form a new business unit to implement their plans, they have created a: a. joint venture. b. collusion organization. c. development team. d. merged organization. 65. A cooperative relationship formed between businesses: a. typically involves forming a new business unit. b. may involve partners taking ownership positions. c. is usually less formal than a joint venture. d. would not be typified by a joint new-product development team. 66. The joint venture option for structuring a strategic alliance: a. seldom involves forming a new business unit. b. is usually less formal than a cooperative relationship. c. could be typified by a joint new-product development team. d. involves the partners taking ownership positions.

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67. Which of the following firms is most likely to enter into a vertical strategic alliance with Boeing? a. Airbus, a European consortium of aircraft manufacturers b. Pratt & Whitney, an aircraft engine manufacturer c. Cessna, an American airplane manufacturer d. Gulfstream Aerospace, a jet aircraft producer 68. One of the most important measures for evaluating customer relationship programs is the: a. weekly cost of program administration. b. average amount of each transaction the program generates. c. lifetime value of a customer. d. annual revenue the program generates. 69. Long-term customers are usually: a. less valuable to a company than short-term customers. b. more difficult to deal with than short-term customers. c. expensive investments because the upkeep is costly. d. more valuable assets than new ones because they buy more and cost less to serve. 70. Lifetime value of a customer and payback calculations recognize that: a. customers will always be there, regardless of the industry or product. b. customer complaints have little relevance to how people actually behave. c. long-term customers are usually more valuable than new ones. d. customer satisfaction is not the determinant of customer loyalty. 71. A customer buys an average of two paperbacks per month from a bookstore at a price of $5 each for a period of three years. Each book costs the bookstore $3. With their monthly expense to service that customer at fifty cents, what is the lifetime value of the customer? a. $12.60 b. $108 c. $126 d. $1,080 72. A video store runs a Frequent Renter program. The store issues coupons for $50 worth of DVD rentals, and the store estimates that the overhead cost of stocking and renting DVDs to each Frequent Renter customer is $5 per month. Additionally, the customer pays $15 per month for unlimited rentals over a 12-month enrollment period. How long does the store estimate the payback period will be? a. Four months b. Five months c. Six months d. Eight months

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Chapter 11Product and Service Strategies

1. Using the broad application of the word product, a television set is a(n): a. obsolete technology in comparison with the Internet. b. means of providing entertainment. c. lucrative item for appliance stores. d. machine used to receive broadcast signals. 2. A product is: a. the physical attributes of something one can buy. b. whatever the seller says it is. c. a bundle of physical, service, and symbolic attributes designed to satisfy a customer's wants and needs. d. a thing that's impossible to define, since everyone sees it differently. 3. Which of the following comes closest to providing a pure good? a. A company that manufactures and installs elevators b. A cleaning service c. A data storage company d. An advertising agency 4. Which of the following companies is a pure service firm? a. Wal-Mart b. Microsoft c. Starbucks d. Delta Airlines 5. All of the following industries belong to the service sector except: a. investment banking. b. retailing. c. agriculture. d. health care. 6. Distinguishing services from goods, all of the following statements are correct except: a. services are intangible. b. services are inseparable from service providers. c. services are easy to standardize. d. services are perishable. 7. Motel 6 and the Ritz-Carlton both provide sleeping accommodations, but their respective guests have considerably different expectations of service. This is because: a. companies cannot standardize services. b. services are inseparable from their providers. c. service quality shows wide variations. d. services have a high perishable rate. 23

8. Financial Services Inc. had call centers in Malaysia where employees worked in shifts to cater to American customers at all times. However, after receiving persistent complaints about unsatisfactory service quality and increasing inefficiency, the organization decided to bring the call centers back to the U.S. This is an example of: a. outsourcing. b. offshoring. c. backshoring. d. homeshoring. 9. Which of the following is likely to classify as both a consumer product as well as a business product? a. Raw silk b. Iron ore c. Concrete mixers d. Printers 10. Products marketed to consumers who may not yet recognize a need for them are _____ products. a. unsought b. impulse c. convenience d. specialty 11. A consumer expects to purchase convenience products: a. without having full knowledge about what is sought. b. immediately and with minimal effort. c. after visiting numerous stores and comparing prices. d. by traveling any distance required to get what is wanted. 12. Which of the following products are, for most consumers, unsought? a. Designer clothes b. Magazines c. Long-term insurance d. Furniture 13. Consumer goods such as milk, bread, and soft drinks are generally classified as _____ products. a. convenience b. utilitarian c. shopping d. specialty 14. Following research reports indicating a renewed interest in board games, Best Toys carried out its own market study and introduced one for kids under 10. The sales for the first couple of months were unsatisfactory, far lower than what Best Toys had expected. Which of the following could be a reason for the low sales? a. Toys are convenience goods and therefore consumers do not have the time or patience to check out new product offerings. b. Toys are specialty goods and therefore its market is actually limited since people are already loyal to established brands. c. Board games cannibalized the sales of its other products. d. The shelf space and visibility of the new board game was not good at most of the 24

department stores and toy stores. 15. A company manufacturing hair care products introduced a shampoo with keratin to enhance hair quality and reduce hair breakage and hair loss. To ensure the right spot on the supermarket shelves, the company paid retailers a substantial amount of money. The money paid is called: a. push money. b. a rebate. c. a premium. d. a slotting allowance. 16. Supermarkets usually display items such as candy, gum, and magazines near the checkout counter because they are: a. purchased on impulse. b. easier to replenish. c. subject to shoplifting. d. purchased infrequently. 17. Which of the following products would generally be classified as a staple? a. Plumbing repair kit b. Personal computer c. Gasoline d. Newspaper 18. Convenience products that customers constantly replenish to maintain a ready inventory may be categorized as: a. staples. b. impulse items. c. emergency items. d. specialty items. 19. Which of the following products relies least on personal selling? a. Specialty products b. Shopping products c. Unsought products d. Convenience products 20. After researching and comparing several types of alarm clocks, Trisha decided on one that gives a choice of being wakened to music, bird calls, or ocean waves. In this case, the alarm clock would be classified as a(n) _____ product. a. shopping b. impulse c. convenience d. specialty 21. Consumer shopping products typically include items such as: a. Coca-Cola and Snapple Iced Tea. b. bread, milk, and gasoline. c. clothing, furniture, and appliances. d. Rolex watches and BMW automobiles.

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22. Of the following, which would most likely have the greatest influence on a decision to buy a heterogeneous shopping product? a. Products style b. Store's name and reputation c. Location of the store d. Price and perceived value of the product 23. While in Best Buy, a customer takes a great deal of time comparing the quality, features, and prices of a number of refrigerators. What type of products is this customer examining? a. Luxury products b. Convenience products c. Homogeneous shopping products d. Heterogeneous specialty products 24. Ryan is looking for a professional watch that he buys, at the most, once every few years. Since he doesnt favor a particular brand, he spends a great deal of time comparing price and quality, as well as visiting the few retail outlets that sell high-end watches. Which type of product is Ryan about to purchase? a. Unsought b. Specialty c. Convenience d. Shopping 25. Consumers who are well aware of the brands they prefer and are willing to make a special effort to obtain them are primarily interested in _____ products. a. impulse b. convenience c. shopping d. specialty 26. Financial, legal, and medical services constitute: a. convenience services. b. shopping goods. c. specialty services. d. customized services. 27. Which of the following correctly matches consumer factors and marketing mix factors in the consumer products classification system? a. Specialty products - personal selling is not important b. Convenience products - consumer makes infrequent purchases of these products c. Shopping products - relatively short channel of distribution is typical d. Emergency products - these are unsought products

28. Which of the following products typically has the longest distribution channel length? a. Convenience products. b. Unsought products c. Specialty products d. Shopping products 26

29. For which of the following products is the choice of location least important? a. Specialty products b. Shopping products c. Unsought products d. Convenience products 30. Business products would ordinarily include all of the following except: a. installations. b. accessory equipment. c. specialty products. d. component parts. 31. Which of the following business products would be classified as an installation? a. Jet engines b. Office furniture c. Photocopier d. Regional shopping center 32. _____ are business products most similar to consumer specialty products. a. Installations b. Accessory equipment c. Raw materials d. Component parts and materials 33. In the business market, the purchasing firm buys installations: a. from the vendor who offers it at the lowest price. b. because they are generally useful rather than having a specific purpose. c. for efficiency and performance over their useful life. d. as quickly as possible without extensive negotiations. 34. Sandra is working on a purchase decision for her company. The product under consideration is expensive, has a short distribution channel, and isnt purchased frequently. In addition, Sandra is working closely with a sellers marketing representative. Which type of product is Sandras company considering purchasing? a. Accessory equipments b. Installations c. Component parts and materials d. Supplies 35. Products that are considered capital investments but whose useful lives are generally much shorter than those of installations are known as: a. accessory equipment. b. operating supplies. c. component parts. d. business services. 36. A basic characteristic of accessory equipment in the business market is that it is: a. purchased by groups involving a large number of decision makers. 27

b. not considered a capital item. c. a capital item with a shorter useful life than an installation. d. a convenience product of the industrial market. 37. Which of the following can be classified as an accessory equipment? a. Natural gas pipelines b. Kitchen cabinets c. Office furniture d. Printer cartridges 38. Wholesalers called industrial distributors are major vendors of: a. standardized products of uniform quality that are made on a contractual basis. b. MRO items. c. installations for the industrial market. d. accessory equipment for the business market.

39. Industrial distributors are more often found selling: a. accessory equipment. b. business services. c. raw materials. d. installations. 40. Spark plugs, batteries, and tires that are included with the purchase of a car are examples of: a. installations. b. accessory equipment. c. component parts and materials. d. supplies. 41. The business market needs a regular, continuous supply of finished products of uniform quality as: a. raw materials. b. accessory equipment. c. maintenance items. d. component parts and materials. 42. Raw materials resemble component parts and materials in that they are: a. considered capital investments to be held for several years. b. part of the buyers' final products. c. finished products before they enter into the production of other products. d. expended without finding their way into finished goods. 43. Business products classified as raw materials are: a. price-sensitive items. b. specialty products for the industrial market. c. either farm products or natural products. d. MRO items. 44. All of the following are raw materials except: a. coal. 28

b. copper. c. iron ore. d. steel. 45. In the business market, fax paper, pencils, and office stationery are examples of: a. maintenance items. b. repair items. c. operating supplies. d. accessory equipment. 46. Sarah is trying to decide whether to outsource her companys research requirements to firms that offer customized services in market research, or to build her own team of research analysts. Given this, which of the following statements is likely to be true? a. Sarah will outsource the research work because the accuracy of market research firms will always be higher than if she builds her own team. b. It is always better to outsource if the service/product is not the firms core competency. c. The frequency of her requirement for research reports is likely to be an important criteria for this decision. d. Price is usually not a major concern when it comes to hiring business services. 47. When a company institutes a continuous effort to improve products and work processes, they are practicing: a. total quality management. b. benchmarking. c. ISO 9002 certification. d. process improvement. 48. The number of customers coming back with complaints about ABC Inc.s lawn-mowers has increased considerably in the last few months. Its customers are unhappy and sales have declined with unfavorable word-of-mouth reports. Which of the following is most likely to be true about ABC Inc.s product and policies? a. The sales people are not doing their job well. b. ABC Inc. does not have a good total quality management process in place. c. The customers are unhappy because their service encounters are unsatisfactory. d. ABC Inc.s store locations and product visibility are not good enough. 49. Which of the following is the first main activity involved in benchmarking? a. Identifying the world's leading performers b. Identifying internal processes to be improved c. Identifying how the best goods are produced d. Identifying critical market segments 50. Benchmarking seeks to achieve superior performance that results in a competitive advantage in the marketplace by all of the following except: a. continuously repeating the process to search for and identify areas that need improvement. b. comparing internal processes with similar processes of industry leaders. c. identifying processes that need improvement. d. increasing production at a lower cost-per-unit. 29

51. You are reluctant to try out the newly opened department store in your neighborhood because you are unsure of the service you will get. When you do however, you find that the staff are friendly and helpful, the cashiers are fast, and the store is extremely well stocked. One can say that: a. the store is unlikely to get any word-of-mouth publicity. b. this store need not have a benchmarking process in place. c. you had a positive service encounter. d. there was no gap between your expectation and the service you received at the store. 52. Russell works for a cell phone provider. When dealing with customers he always conveys confidence that he can provide the exact assistance they need. Which service quality variable is Russell exhibiting? a. Assurance b. Responsiveness c. Empathy d. Reliability 53. Tina is a customer service representative for an Internet service provider. While dealing with elderly customers, Tina takes extra time and effort in explaining to them how to access the Internet and check e-mails. She understands their point of view, and realizes that they may need more explanation than the tech-savvy younger generation. Which service quality variable is Tina exhibiting? a. Assurance b. Responsiveness c. Empathy d. Reliability 54. ABC Airlines emphasizes a lot on their crew uniform and the presentable look of their infrastructure. By doing this which service quality variable is ABC Airlines exhibiting? a. Assurance b. Responsiveness c. Tangibles d. Empathy 55. Dominos has been very consistent in terms of their offerings across their outlets as well as their 24 hours home service which is within 30 minutes or free. By offering such a dependable service, they have been exhibiting: a. reliability. b. responsiveness. c. empathy. d. tangibles. 56. A product _____ is a series of related products offered by one company. a. assortment b. mix c. line d. formula 57. Little Tots manufactures clothes for children below the age of 5. Which of the following is most likely to help the company enhance its market position? a. Undercutting prices irrespective of its costs 30

b. Increasing the distribution channel length c. Focusing solely on the existing product line and enhancing its advertising budget d. Developing other products associated with children 58. Which of the following is a single product line? a. Four-door sedans offered by various automakers b. Passenger jets manufactured by Airbus and Boeing c. Hershey Kisses in a variety of flavors including almond, dark chocolate, and caramel d. Different brands of toothpaste 59. The combination of product lines represents a companys product: a. mix. b. cluster. c. lifecycle. d. concept. 60. Proctor & Gamble has 50 leadership brands and produces 125 products which are sold worldwide. If the company added another product in its household care category, which of the following statements will be true? a. It would increase P&Gs product mix width. b. It would increase P&Gs product mix consistency. c. It would increase P&Gs product mix length. d. It would increase P&Gs product lifecycle. 61. After careful research, a well known company producing personal care products such as soaps and shampoos, decides to produce and market baby soaps. This implies: a. an increase in product mix depth for this company. b. an increase in product mix width for this company. c. an increase in the product lifecycle. d. an increase in the cobranding capabilities of this company. 62. Johnson & Johnson manufactures more than 100 brands in nearly 50 product categories. The total number of products they manufacture is called the product: a. line extension. b. cluster map. c. mix length. d. lifecycle expectancy. 63. If Honda were to acquire a bicycle manufacturer, it would add to the _____ of Hondas product mix. a. depth b. width c. consistency d. cluster 64. The number of product lines a firm offers is referred to as: a. depth. b. width. c. clusters. d. length. 65. Adding individual offerings that appeal to different market segments is known as a product: 31

a. b. c. d.

mix. line. line extension. line depth.

66. A firm's marketing strategy should emphasize stimulating initial demand during the _____ stage of the product lifecycle. a. introduction b. stabilization c. growth d. maturity 67. In a process called _____, products pass through a series of stages from their initial appearance to their decline. a. product life potential b. promotional cycle c. pricing cycle d. product lifecycle 68. During the introductory stage of the product lifecycle: a. competitors rush into the market with offerings similar to those of the innovator. b. technical problems are common as companies fine-tune product design. c. sales are usually on the decline as consumers are unsure about the product. d. profits for the product category decline, sometimes actually becoming negative. 69. Potential customers are unaware of a product in its introductory stage, therefore promotion in this stage concentrates on: a. informing the market about the item and explaining its features, uses, and benefits. b. reducing the size of the available market through selective advertising. c. test marketing. d. communicating new uses for the product. 70. In which stage of the product lifecycle do profits become more substantial? a. Decline stage b. Introductory stage c. Growth stage d. Maturity stage 71. A characteristic of the growth stage of the product lifecycle is that: a. the product price is increased. b. effective competitors wait and watch to learn more about the product. c. early buyers of the product make their repurchases. d. sales are maximized. 72. Widgets were introduced a few years ago. The number of companies making widgets has increased recently, drawn by high profits. At the same time, differentiated products for different market segments have begun to emerge. Widgets appear to be in the _____ stage of the product lifecycle. a. growth 32

b. introductory c. maturity d. decline 73. Competition between brands intensifies during the _____. a. maturity stage b. introductory stage c. innovation stage d. diminishing demand period 74. Sales of a product eventually stop growing as the backlog of potential customers dwindles in the _____ stage of the product lifecycle. a. maturity b. introductory c. growth d. decline 75. During the maturity stage of the product lifecycle: a. sales volumes rise rapidly as new customers make initial purchases and earlier purchasers buy again. b. some firms try to differentiate their products on the basis of quality, reliability, and service. c. financial losses are common as firms incur heavy promotion costs. d. innovations or shifts in consumer preferences bring about a decline in industry sales. 76. Doug is a business analyst for a leading manufacturer of sports shoes. A careful analysis of market conditions reveals that there is actually an excess supply in the market for sprinting shoes. Doug infers that the sprinting shoes are in the _____ stage of the product lifecycle. a. introductory b. growth c. maturity d. decline 77. In the _____ stage, market supplies exceed the demand, as a result of which a firm can increase its sales only at the expense of its competitors. a. introductory b. growth c. maturity d. decline 78. Greta has been analyzing the competitive standing of one of her products. Since Gretas product was introduced, 20 similar products have appeared, forcing her to change distribution strategies. Greta has also had to change pricing strategies in order to remain competitive. Sales volume has dipped, and she suspects sales of her product have reached a saturation level. The product is at which stage of the product lifecycle? a. Introductory b. Growth c. Maturity d. Decline 33

79. A viable marketing strategy to delay or prevent a dip in sales would be to promote the differences that separate competing products during the _____ stage of the product lifecycle. a. introduction b. stabilization c. growth d. maturity 80. A characteristic of the decline stage of the product lifecycle is that: a. profits decline and may even be negative. b. distribution is increased. c. available products exceed demand for the first time. d. only mass advertising can improve sales. 81. Genuine Products has been involved in intensive price competition with another company. Profits are low and market researchers are concerned that losses will soon occur due to a reduced market for the item. This product appears to have reached the _____ stage of the product lifecycle. a. introductory b. maturity c. decline d. growth 82. Products with abbreviated lifecycles are called: a. trends. b. perishables. c. fads. d. staples. 83. Marketers observed a sudden increase in the demand for platform shoes among teenage girls, after a popular actress was seen sporting them in a movie. However, the demand soon died down and footwear stores were forced to offer massive discounts to get them off the shelves. This is an example of: a. a product in the decline stage. b. a product deletion decision. c. a fashion. d. a fad. 84. Advertising that warns consumers about the dangers of overexposure to the sun, even during winter months, is an attempt by marketers of sunscreen to: a. raise awareness of skin cancer. b. find new uses for the product. c. change product quality. d. increase the frequency of use. 85. Marketers of Elizabeth Ardens perfumes, skincare, and makeup items introduced the fragrance line, 5th Avenue, in the Asian markets when it was already in the mature stage in the West. This is an attempt to extend product lifecycle by: a. increasing the frequency of use. 34

b. increasing the number of users. c. finding new uses. d. changing product quality. 86. Milkmaid, from Nestle, is a partly skimmed sweetened condensed milk. Apart from the traditional Indian use of milkmaid in making desserts, the brand introduced a variant called Milkmaid Squeezy in a tube form, to encourage its use as a topping for breads and cookies. This is an example of trying to extend product lifecycle by: a. improving product quality. b. changing product quality and labels. c. finding new uses as well as quality changes. d. finding new uses as well as packaging changes.

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