1) The total product offer, also known as the value package, is all the factors that potential buyers evaluate in a product when considering whether to buy it.( )
True
False
2) Industrial goods, also called business goods, are products used to produce other products.
True
False
3) A new product color, size, or packaging represents a discontinuous innovation.( )
True
False
4) Heavy on startup costs, with sales usually low, and the huge risk that the product may be rejected in the marketplace, the growth stage of the product life cycle is the period in which customer demand increases, the product’s sales grow, and later competitors may enter the market.( )
True
False
Answer: True
5) At the maturity stage of the product life cycle, sales slow as competition makes inroads, and managers need to concentrate on reducing costs in an effort to maintain the product’s profitability. ( )
True
False
6) Rachel has a new job working at a conveyor belt in a paper recycling plant. She works the residential mixed paper line. Her job is to pull off nonrecyclable items mixed in with the magazines, newspapers, and cereal-box cardboard. The first few days, when she had a coworker alongside her showing her the process, Rachel did fine. Now that she is on her own, she is having a hard time keeping up with the conveyor, and some nonrecyclable items are getting by her. Rachel is feeling like she will never get up to speed and is losing interest in the job. Rachel is suffering from having a fixed mindset.( )
True
False
7) Branding and packaging are two areas in which a company can design a product in a way that will make it be perceived differently enough from competitors’ products that it will attract consumers.( )
True
False
8) The Macy’s star is a brand name.( )
True
False
9) Goodyear tires and Publix foods are examples of private-label brands, those attached to products distributed by one store or chain.( )
True
False
10) Illegal imitations of national brand-name products are called copycat brands.( )
True
False
11) Objectives used when assigning prices to things include matching or beating the competition, making products more affordable to certain people, and creating prestige.( )
True
False
12) The purpose of break-even analysis is to find the revenue needed to cover the total cost of making a product.( )
True
False
13) Teresa is trying to sell her condo. It has been on the market for six weeks at $379,995 and so now she wants to lower the price. A new price of $375,995 would likely be received better by potential buyers than a price of $373,555.( )
True
False
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