Chapter 10

Question 1

product line

Answer 1

A firm’s total product offering designed to satisfy a single need or desire of target customers.

Question 2

cannibalization

Answer 2

The loss of sales of an existing brand when a new item in a product line or product family is introduced.

Question 3

product mix

Answer 3

the total set of all products a firm offers for sale

Question 4

product life cycle

Answer 4

Concept that explains how products go through four distinct stages from birth to death: introduction, growth , maturity, and decline.

Question 5

introduction

Answer 5

The first stage of the product life cycle in which slow growth follows the introduction of a new product in the marketplace.

Question 6

growth stage

Answer 6

The second stage in the product life cycle during which the product is accepted and sales rapidly increase.

Question 7

maturity stage

Answer 7

The third and longest stage in the product life cycle in which sales peak and profit margins narrow.

Question 8

decline stage

Answer 8

The final stage in the product life cycle in which sales decrease as customer needs change.

Question 9

brand

Answer 9

A name, a term, a symbol, or any other unique element of a product that identifies one firm’s product(s) and sets them apart from the competition.

Question 10

trademark

Answer 10

The legal term for a brand name, brand mark, or trade character; trademarks legally registered by a government obtain protection for exclusive use in that country.

Question 11

brand equity

Answer 11

The value of a brand to an organization.

Question 12

brand extensions

Answer 12

A new product sold with the same brand name as a strong existing brand.

Question 13

family brand

Answer 13

A brand that a group of individual brands share.

Question 14

national or manufacturer brands

Answer 14

Brands that the manufacturer of the product owns.

Question 15

private-label brands

Answer 15

Brands that are owned and sold by a certain retailer or distributor

Question 16

licensing (of name)

Answer 16

Agreement in which one firm sells another firm the right to use purpose and for a specific period of time.

Question 17

co-branding

Answer 17

An agreement between two brands to work together in marketing a new product.

Question 18

ingredient branding

Answer 18

A form of co-branding in which branded materials are used as ingredients or component parts of other branded products.

Question 19

package

Answer 19

The covering or container for a product that provides product protection, facilitates product use and storage, and supplies important marketing communication.

Question 20

Universal Product Code (UPC)

Answer 20

The set of black bars or lines printed on the side or bottom of most items sold in grocery stores and other mass-merchandising outlets. The UPC, readable by scanners, creates a national system of product identification.

Question 21

brand manager

Answer 21

An individual who is responsible for developing and implementing the marketing plan for a single brand.

Question 22

product category manager

Answer 22

An individual who is responsible for developing and implementing the marketing plan for all of the brands and products within a product category.

Question 23

market manager

Answer 23

An individual who is responsible for developing and implementing the marketing plans for products sold to a particular customer group.

Question 24

venture teams

Answer 24

Groups of people within an organization who work together focusing exclusively on the development of a new product.