Ch.11 Product, Price, & Place

Which of the following is a characteristic of a service?

• Can be stored

• Can be repeated in exactly the same way

• Mass produced

• Intangible

Which of the following is an example of a basic category of consumer product?

• Convenience good

• Process material

• Component part

• Raw materials

Which of the following is NOT a business product category in the business-to-business (B2B) market?

• Raw materials

• Process materials

• Major equipment

• Shopping goods

The price of a good or service must ______.

• be lower than what customers are willing to pay

• be below any government price floor

• cover the cost of producing and selling the product

• not be below the manufacturer's suggested retail price (MSRP)

Which of the following is an example of a pricing objective?

• Minimize cost

• Minimize profit

• Maximize profit

• Minimize the product life cycle

During which stage of the product life cycle are the sales and prices of products stable?

• Introduction

• Growth

• Maturity

• Decline

A product starts making profit after reaching the _____.

• introduction stage of the product life cycle

• break-even point

• price ceiling

• mass market

The path of selling goods or services directly from a manufacturer to end users without using intermediaries is the _____.

• Supply chain

• Direct channel

• Indirect channel

• Pipeline

Which is NOT a basic type of product created by a producer?

• Natural resources

• Transportation

• Agricultural products

• Finished goods

What unfair pricing strategy is the practice of advertising one product with the intent of persuading customers to buy a more expensive item when they arrive in the store?

• deceptive pricing

• price gouging

• bait and switch

• predatory pricing