Chapter 11

Question 1

4 Phases of the Product Life Cycle

Answer 1

1. Introduction
2. Growth
3. Maturity
4. Decline

Question 2

What type of Promotion is used during Introduction phase

Answer 2

Pioneering Ads -Informative - stimulate primary demand

Question 3

Pricing Strategies used during Introduction Phase

Answer 3

Skimming

Penetration

Question 4

What type of promotion is used during Growth phase

Answer 4

Competitive ads - stimulate selective demand

Question 5

What pricing is used during growth phase

Answer 5

More Competitive

Question 6

What type of Promotion is used during maturity stage

Answer 6

Reminder Ads - persuades

Question 7

What pricing is used during Maturity Phase:

Answer 7

competitive

Question 8

In which phase does a business potentially look for international expansion

Answer 8

Maturity

Question 9

What are the two product strategies used in the decline phase

Answer 9

Product Deletion

Product Harvesting

Question 10

What is Skimming Pricing

Answer 10

High initial price to recover costs and capitalize on near monopoly

Question 11

What is penetration pricing

Answer 11

Low initial cost to discourage competitor entry into the market

Question 12

What is product deletion

Answer 12

dropping a product from the line

Question 13

What is product harvesting

Answer 13

Retaining product but reducing support

Question 14

What is primary demand

Answer 14

Demand for a product

Question 15

What is selective demand

Answer 15

Demand for a specific brand

Question 16

Which has a longer product life cycle: Consumer products or business products

Answer 16

Business Products

Question 17

What is the shape of a high-learning product life cycle

Answer 17

long introductory phase, shallow slope throughout

Question 18

What is the shape of the product life cycle of a Low-learning product

Answer 18

short introduction phase, steeper slope

Question 19

What is the shape of the product life cycle curve of a fashion product

Answer 19

Wave - rises up and down

Question 20

What is the shape of a fad product life cycle

Answer 20

short, steep slope

Question 21

Define Brand Equity

Answer 21

added value brand name gives to product

Question 22

7 Branding Strategies

Answer 22

Brand Licensing
Sub-Branding
Brand Extension
Co-Branding
Private Branding 
Multi-Branding
Mixed Branding

Question 23

3 Branding Strategies considered Multi-product (family) branding

Answer 23

Sub-Branding
Brand Extension
Co-branding

Question 24

Define Brand Licensing

Answer 24

Company allows another party use of their brand name

Question 25

Define Sub-branding

Answer 25

Combine brand with new brand (ex: Gatorade G2)

Question 26

Define Brand Extension

Answer 26

current brand name in different product class

Question 27

Co-branding

Answer 27

pair two or more recognized brands on single service

Question 28

Define Private Branding

Answer 28

company makes product then sells it under brand name of retailer

Question 29

Multi-branding

Answer 29

each company product is given a distinct brand name

Question 30

Define Mixed Branding

Answer 30

firm markets products under own name and reseller name

Question 31

5 Categories of Product Adopters

Answer 31

Innovators 
Early Adopters
Early Majority
Late Majority
Laggards

Question 32

3 Benefits from Packaging and Labelling

Answer 32

Communication
Functional
Perceptual