Chapter 8

Chapter 8 Product, Services, and Branding Strategies: Building Customer Value

1) We define a ________ as anything that can be offered to a market for attention, acquisition, use, or consumption and that might satisfy a want or need.

A) private brand

B) service variability

C) service

D) product

E) service encounter

Answer: D

Diff: 1 Page Ref: 224

AACSB: Communication

Skill: Concept

Objective: 8-1

2) ________ are a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible and do not result in the ownership of anything.

A) Line extensions

B) Services

C) Brands

D) Consumer products

E) Supplements

Answer: B

Diff: 1 Page Ref: 224

AACSB: Communication

Skill: Concept

Objective: 8-1

3) A product is a key element in the ________. At one extreme, it may consist of pure tangible goods or at the other extreme, pure services.

A) market offering

B) brand equity

C) brand extension

D) co-branding

E) value chain

Answer: A

Diff: 1 Page Ref: 224

AACSB: Communication

Skill: Concept

Objective: 8-1

4) To differentiate themselves, many companies are going beyond products and services, they are developing and delivering customer ________.

A) quality

B) experiences

C) brands

D) product lines

E) events

Answer: B

Diff: 2 Page Ref: 224

AACSB: Communication

Skill: Concept

Objective: 8-1

5) Product planners need to consider products and services on three levels. Each level adds more customer value. The most basic level is the ________, which addresses the question, "What is the buyer really buying?"

A) actual product

B) augmented product

C) core customer value

D) co-branding

E) exchange

Answer: C

Diff: 2 Page Ref: 225

AACSB: Communication

Skill: Concept

Objective: 8-1

6) The third level of a product that product planners must consider is a(n) ________ around the core benefit and actual product that offers additional consumer services and benefits.

A) brand equity

B) augmented product

C) brand extension

D) industrial product

E) image

Answer: B

Diff: 2 Page Ref: 225

AACSB: Communication

Skill: Concept

Objective: 8-1

7) Product planners must design the actual product and find ways to ________ it in order to create the bundle of benefits that will provide the most satisfying customer experience.

A) promote

B) package

C) brand

D) augment

E) present

Answer: D

Diff: 3 Page Ref: 225

AACSB: Communication

Skill: Concept

Objective: 8-1

8) Products and services fall into two broad classifications based on the types of consumers that use them. Which is one of these broad classes?

A) industrial products

B) specialty products

C) supplies and services

D) materials and parts

E) convenience products

Answer: A

Diff: 2 Page Ref: 226

Skill: Concept

Objective: 8-1

9) ________ are products and services bought by final consumers for personal consumption. These include convenience products, shopping products, specialty products, and unsought products.

A) Services

B) Consumer products

C) Line extensions

D) Industrial products

E) Straight extensions

Answer: B

Diff: 1 Page Ref: 226

Skill: Concept

Objective: 8-1

10) ________ are less frequently purchased consumer products and services that customers compare carefully on suitability, quality, price, and style. Consumers spend much time and effort in gathering information and making comparisons

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