MARKETING2-MIDTERM EXAM

For a company to modify, add or delete a product in the product line they must analyze how the product is performing in terms of?

• BUSINESS

• SALES & PROFIT

• OBJECTIVES

• CONDITIONS

IT allows an analysis of how growth in sales will translate into growth in profits?

• CONTRIBUTION MARGIN ANALYSIS

• OPERATING LEVERAGE

• OPERATING INCOME

• MARGIN

ANALYSIS that also called an ________ and measures how risky (volatile) a company's operating income is to changes in market conditions.

• A. MARGIN

• B. OPERATING LEVERAGE

• C. OBJECTIVE

• D. SYSTEM

It involves a complete overhaul of the product lines?

• PRODUCT CONTRIBUTION

• PRODUCT LINE

• PRODUCT STRETCHING

• PRODUCT LINE MODERNIZATION

This type of overhaul may be done if the company passes through an?

• MARKETS & COMPETITORS

• SALES & PROFITS

• BUSINESS & OBJECTIVES

• ECONOMIC CRISIS OR BANKCRUPTCY

Product line filling is done by companies to try to get higher profits from a particular product category.

• YES, ITS TRUE

• NO, ITS FALSE

Product line filling is done by companies to also helps the company to give the customer an impression that its range of products is incomplete and comprehensive.

• YES, SO TRUE

• NO, ITS FALSE

Product line filling is done many times to satisfy the company’s dealers who are constantly asking for newer products.

• YES, VERY TRUE

• NO, VERY WRONG

Product line filling allows the company to do not sell more products thus making a better utilization of the company’s manufacturing resources.

• YES, SUPER TRUE

• NO, ITS FALSE

Product line filling also helps in keeping out competitors from different attitude.

• YES

• NO