11BS - BUS - Online Quiz1 - TERM 3 (25-26)

When consumers calculate the value of a product, they

• subtract the cost of production from the market price.

• eliminate all nontangible elements that might affect their perception of the product.

• look at the benefits the product provides then subtract the cost.

• identify the variable and the fixed components of the product's benefits.

Evaluate why product development is considered a key activity in any modern business. Provide reasoning based on strategic thinking.

• It helps businesses maintain outdated products

• It allows businesses to ignore market changes

• It enables businesses to stay competitive and meet evolving customer needs

• It reduces the need for marketing

According to the box “Connecting Through Social Media,” Birdy Grey has used social media to

• address environmental concerns in Congress.

• attack their competition for copying their product line.

• partner with other companies with a large social following to co-market.

• learn what their customers want.

Which of the following is a reason why distributed product development can be useful for a business?

• It increases the number of employees in one location

• It reduces costs

• It limits access to technology

• It slows down production

Strategically, how might a business use distributed product development to gain a competitive advantage?

• By only hiring local employees

• By outsourcing process to specialized expertise and technology

• By avoiding collaboration with other organizations

• By focusing solely on reducing production speed and reducing cost

Products are evaluated on many different dimensions. Which of the following is true about these dimensions?

• They include both tangible and intangible aspects.

• They are only tangible aspects.

• They are only intangible aspects.

• They are not important in consumer decision-making.

When a consumer makes a purchase of a particular product, because they are familiar with the company that makes the product, they are making the decision based on which characteristic?

• sales price or promotions

• history with the product

• warranty

• brand identification

If you were a smartphone company, which feature would you most likely add to your product to convince customers to switch phones or carriers? Use reasoning and planning to select the best option.

• A unique camera technology

• A less powerful battery

• Fewer customization options

• Slower software updates

The combination of all the factors that consumers evaluate when deciding whether or not to buy a good or service is called a

• total product offer.

• product mix.

• product differentiation.

• marketing mix.

Typically, as customers grow older, which total product offer becomes increasingly important?

• advertising

• celebrity endorsement

• customer service

• design/features