Chapter 8 - Product and Service Management

A business might decide to offer certain products to customers if other businesses are successfully selling those products. This is an example of marketing being affected by a product's

• intended use.

• brand name.

• life cycle.

• main feature.

What happens during the growth phase of a product life cycle?

• Product is placed on the market..

• Sales and profits increase, and competition appears.

• Product is no longer profitable, and the producer stops making it.

• Product is no longer profitable, and the producer stops making it.

When sales and profits for a product have fallen, the product is in what stage of the product life cycle?

• Introduction

• Growth

• Decline

• Maturity

Why does a company need to know what stage of the product life cycle its products are in?

• To adapt its marketing strategies

• To prevent imitators from entering the market

• To predict the length of the life cycle

• To find new uses for the product

Why might profits sometimes decline for the company that first introduced the product during the growth stage of a product's life cycle?

• Because competitors have entered the market

• Because production is more efficient

• Because sales decline in the growth stage

• Because marketing strategies are adjusted

What is a business's primary marketing objective for a product that is in the introductory stage of its life cycle?

• To get customers to buy the product

• To adjust and enlarge distribution of the product

• To compete effectively with other sellers of the product

• To decide whether to eliminate the product

During which of the following stages of the product life cycle is competition at its peak:

• Introduction

• Decline

• Maturity

• Growth

One of the ways in which a business can revive a product that is in the decline stage of the product life cycle is to __________ the product.

• repackage

• position

• discontinue

• remove

Which of the following is a decision a company might make during the decline stage of the product life cycle:

• How to increase awareness of the product

• Whether to change the product

• What production schedule to follow

• How to fend off the competition

Advertising efforts for an item that is in the growth stage of the product life cycle usually focus on

• product benefits.

• alternative product uses.

• customer satisfaction.

• low prices.