Test Bank For Advertising Promotion and Other Aspects of Integrated Marketing Communications, International Edition, 9th Edition By Terence A. Shimp

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Test Bank For Advertising Promotion and Other Aspects of Integrated Marketing Communications, International Edition, 9th Edition By Terence A. Shimp

Chapter 3—Brand Adoption, Brand Naming, and Intellectual Property Issues

TRUE/FALSE

1.The notions of trial and repeat purchase are particularly apt for inexpensive consumer packaged goods.

ANS: T PTS: 1

2.Huge investments and concerted efforts to introduce new products and services almost always guarantee success.

ANS: F PTS: 1

3.The three main stages through which an individual becomes an adopter of a new or even established product are the awareness, trier, and repeater classes.

ANS: T PTS: 1

4.The first step in facilitating adoption is to make the consumer aware of a new product’s existence.

ANS: T PTS: 1

5.The four variables that influence the awareness class include free samples, coupons, advertising, and price.

ANS: F PTS: 1

6.Distribution is one of the variables that influences the awareness class.

ANS: T PTS: 1

7.Free samples is one of the variables that influences the trier class.

ANS: T PTS: 1

8.Demographics, distribution, and price are the variables that affect the trier class.

ANS: F PTS: 1

9.Repeat purchasing is a function of advertising, coupons, distribution, and product satisfaction.

ANS: F PTS: 1

10.Consumer satisfaction is the major determinant of repeat purchasing.

ANS: T PTS: 1

11.Relative advantage is a function of consumer perception and whether a product is better by objective standards.

ANS: F PTS: 1

12.Relative advantage is positively correlated with an innovation’s adoption rate.

ANS: T PTS: 1

13.The degree to which an innovation is perceived to fit into a person’s way of doing things is termed compatibility.

ANS: T PTS: 1

14.Innovations that are compatible with a person’s existing situation require more effort to incorporate into one’s consumption lifestyle.

ANS: F PTS: 1

15.Compatibility refers to an innovation’s degree of perceived difficulty.

ANS: F PTS: 1

16.The extent to which an innovation can be used on a limited basis prior to making a full-blown commitment is referred to as compatibility.

ANS: F PTS: 1

17.In general, products that lend themselves to trialability are adopted at a more rapid rate.

ANS: T PTS: 1

18.Trialability is the degree to which the product user or other people can observe the possible effects of new product usage.

ANS: F PTS: 1

19.In general, products whose benefits lack observability are generally slower in adoptability.

ANS: T PTS: 1

20.It is possible to quantify the five adoption determining factors in terms of their importance and evaluation of effectiveness to arrive at a total score that indicates the likelihood that a new product will succeed.

ANS: T PTS: 1

21.The adoption process is concerned with the issue of how an innovation is communicated and adopted throughout the marketplace.

ANS: F PTS: 1

22.Providing detailed warranty and complaint-procedure information on labels or in package inserts can minimize perceptions of risk.

ANS: T PTS: 1

23.A brand is a company’s unique designation, or trademark, which distinguishes its offering from the other product category entries.

ANS: T PTS: 1

24.The name chosen for a brand affects the speed with which consumers become aware of the brand.

ANS: T PTS: 1

25.Brand names can influence consumers’ perceptions and attitudes.

ANS: T PTS: 1

26.A good brand name should be similar to its major competitor’s brand name.

ANS: F PTS: 1

27.A good brand name will help consumers to identify who your competitors are.

ANS: F PTS: 1

28.The Clayton Act of 1995 protects owners of brand names and logos from other companies using identical or similar names.

ANS: F PTS: 1

29.In legal terms, brand names and logos are referred to as trademarks.

ANS: T PTS: 1

30.Stealing well-known brand names is widely practiced in some newly emerging market economies, such as China.

ANS: T PTS: 1

31.Suggestive brand names provide consumers with the freedom to interpret benefit claims that best meet their needs.

ANS: F PTS: 1

32.Brand names sometimes are made-up names rather than selected from actual words found in dictionaries.

ANS: T PTS: 1

33.Individual sounds provide meaning about a brand through a process of sound transference.

ANS: F PTS: 1

34.Research has demonstrated that brand names that include back vowels (versus front vowels) convey attribute qualities such as smallness, lightness, mildness, thinness, femininity, weakness, and prettiness.

ANS: F PTS: 1

35.Because there has been a significant amount of research on brand names, new products don’t succeed without following the “rules.”

ANS: F PTS: 1

36.Brand names are sometimes selected based on the empty-vessel philosophy.

ANS: T PTS: 1

37.The first step of the brand naming process is to create candidate brand names.

ANS: F PTS: 1

38.The last step in the brand naming process is to register a trademark.

ANS: T PTS: 1

39.A brand logo is a graphic design element of a brand.

ANS: T PTS: 1

40.Generally speaking, good logos are those that convey essentially the same meaning to all target members.

ANS: T PTS: 1

41.Complexity enhances the likeability of a logo.

ANS: F PTS: 1

42.Logos with abstract designs were found to produce more favorable consumer responses than those with more concrete, natural designs.

ANS: F PTS: 1

43.One purpose of the package is to break through competitive clutter at the point of purchase.

ANS: T PTS: 1

MULTIPLE CHOICE

1.Which of the following is NOT a main stage of the New Product Adoption Process?

a.	unawareness class
b.	awareness class
c.	trier class
d.	repeater class
e.	All of these are main stagess

ANS: A PTS: 1

2.A variable that influences the awareness class would include _____.

a.	free samples
b.	price discounts
c.	demographics
d.	product satisfaction
e.	All of these are correct.

ANS: A PTS: 1

3.A variable that does NOT influence the awareness class includes _____.

a.	distribution
b.	advertising
c.	price
d.	coupons
e.	free samples

ANS: C PTS: 1

4.The notions of trial and repeat purchase are particularly apt for _____.

a.	inexpensive consumer packaged goods
b.	high-end luxury goods
c.	brand awareness efforts
d.	advertising efforts
e.	industrial goods

ANS: A PTS: 1

5.Though not shown in the Brand Adoption Process Model, _____ (a form of free advertising) also plays a significant role in facilitating brand awareness.

a.	public relations
b.	sales promotion
c.	personal selling
d.	word-of-mouth
e.	on-line advertising

ANS: D PTS: 1

6.A variable that affects the trier class is _____.

a.	price
b.	television advertising
c.	trade shows
d.	magazine advertising
e.	product satisfaction

ANS: A PTS: 1

7.Repeat purchasing is a function of _____.

a.	advertising
b.	price
c.	distribution
d.	product satisfaction
e.	All of these are correct.

ANS: E PTS: 1

8.A variable that does NOT influence the repeater class would be _____.

a.	product satisfaction
b.	free samples
c.	distribution
d.	price
e.	advertising

ANS: B PTS: 1

9.The degree to which a product innovation is perceived as better than existing alternatives is termed _____.

a.	relative advantage
b.	compatibility
c.	complexity
d.	trialability
e.	observability

ANS: A PTS: 1

10.Relative advantage is a function of _____.

a.	consumer perception
b.	increased comfort
c.	savings in time and effort
d.	immediacy of reward
e.	objective standards

ANS: A PTS: 1

11.The degree to which an innovation is perceived to fit into a person’s way of doing things is termed _____.

a.	observability
b.	complexity
c.	trialability
d.	compatibility
e.	relative advantage

ANS: D PTS: 1

12.A new cosmetic product that matches consumers’ needs, personal values, beliefs, and past experiences has the _____ innovation-related characteristic that increases the likelihood of adoption.

a.	relative advantage
b.	compatibility
c.	observability
d.	complexity
e.	trialability

ANS: B PTS: 1

13.Aerobics was initially considered a woman’s sport, but societal attitudes toward aerobics have changed and many health clubs are now offering co-ed aerobics classes. The change in societal attitudes toward men engaging in aerobics represents an increased _____ for this activity.

a.	relative advantage
b.	trialability
c.	compatibility
d.	observability
e.	complexity

ANS: C PTS: 1

14.Rugby was initially considered a men’s sport, but societal attitudes have changed and more schools have women’s rugby teams. This change in societal attitudes toward women playing rugby represents increased _____ for this activity.

a.	relative advantage
b.	trialability
c.	compatibility
d.	complexity
e.	observability

ANS: C PTS: 1

15.An innovation’s degree of perceived difficulty is referred to as _____.

a.	compatibility
b.	relative advantage
c.	complexity
d.	trialability
e.	observability

ANS: C PTS: 1

16.The extent to which an innovation can be used on a limited basis prior to making a full-blown commitment is referred to as _____.

a.	relative advantage
b.	compatibility
c.	complexity
d.	observability
e.	trialability

ANS: E PTS: 1

17.Trialability is tied closely to the concept of _____.

a.	sensation transfer
b.	perceived risk
c.	memory cues
d.	association enhancement
e.	sensation transference

ANS: B PTS: 1

18.The Wave Runner is a marina which retails recreational water gear. The Wave Runner recently started promoting an O’Brien trick ski that has an innovative design. This same ski is offered at a lower price under a less prestigious brand name, but consumers perceive the O’Brien ski to be a higher quality product. In this case, the O’Brien ski is favored because of the product’s perceived _____.

a.	observability
b.	trialability
c.	relative advantage
d.	complexity
e.	compatibility

ANS: C PTS: 1

19.Suppose that the Wave Runner marina, a retailer of recreational water gear, allows customers the opportunity to use the innovative O’Brien ski prior to actually purchasing one. This innovative product might now be adopted more quickly because of an increase in _____.

a.	observability
b.	trialability
c.	relative advantage
d.	complexity
e.	compatibility

ANS: B PTS: 1

20.The degree to which the product user or other people can notice the positive effects of new product usage is referred to as _____.

a.	complexity
b.	compatibility
c.	relative advantage
d.	observability
e.	trialability

ANS: D PTS: 1

21.In quantifying the Adoption-Influencing Characteristics, two factors are rated. These are _____.

a.	relative advantage and trialability
b.	perceived value and risk
c.	importance and evaluation
d.	risk and reward
e.	costs and benefits

ANS: C PTS: 1

22.Brand names have been described as _____ that activate images in target audiences’ collective minds.

a.	cerebral switches
b.	silent salespersons
c.	consumer cues
d.	fact facilitators
e.	sensation transferers

ANS: A PTS: 1

23.The name chosen for a brand does three things—affects the speed with which consumers become aware of the brand, influences the brand’s image, and ______.

a.	increases sales
b.	reduces the impact of competitive offerings
c.	plays a major role in brand equity formation
d.	increases consumers’ knowledge of the product
e.	enhances share-of-voice

ANS: C PTS: 1

24.A good brand name should _____.

a.	distinguish the brand from competitive offerings
b.	describe the brand and its attribute benefits
c.	achieve compatibility with a brand’s desired image
d.	be memorable and easy to pronounce
e.	All of these are correct.

ANS: E PTS: 1

25.The _____ protects owners of brand names and logos from other companies using the identical or similar names.

a.	Sherman Act
b.	Magnuson Moss Act
c.	Federal Trademark Dilution Act
d.	Clayton Act
e.	Robinson Patman Act

ANS: C PTS: 1

26._____ brand names are those that imply particular attributes or benefits in the context of a product category.

a.	Objective
b.	Subjective
c.	Implicit
d.	Symbolic
e.	Suggestive

ANS: E PTS: 1

27.Compaq, Acura, and Lexus are names created from _____, which are the semantic kernels of words.

a.	adverbs
b.	phonemes
c.	synonyms
d.	morphemes
e.	compounds

ANS: D PTS: 1

28.Individual sounds, called phonemes, provide meaning about a brand through a process of _____.

a.	sound symbolism
b.	morphing
c.	encoding specificity
d.	sound morphing
e.	telephony

ANS: A PTS: 1

29.Research has demonstrated that brand names that include _____ convey attribute qualities such as smallness, lightness, mildness, thinness, femininity, weakness, and prettiness.

a.	consonants
b.	front vowels
c.	back vowels
d.	short vowels
e.	long vowels

ANS: B PTS: 1

30.Which philosophy implies that when a name does not have much preexisting meaning, subsequent marketing communications are able to create the exact meaning desired without contending with past associations already accumulated in people’s memories?

a.	phonemic symbolism philosophy
b.	empty-vessel philosophy
c.	clean-slate philosophy
d.	suggestive philosophy
e.	blank-slate philosophy

ANS: B PTS: 1

31.Which of the following is NOT a step of the brand naming process?

a.	register trademark
b.	specify objectives for the brand name
c.	evaluate candidate names
d.	determine communication priorities
e.	create candidate brand names

ANS: D PTS: 1

32.In evaluating candidate names during the Brand Naming Process, names are evaluated using criteria such as _____.

a.	managers’ subjective judgment of the suitability of the name
b.	consumers’ awareness level
c.	technological aspects of the product
d.	favorability of association conjured up by the name
e.	economic conditions that may impact the market

ANS: D PTS: 1

33.Related to the brand name is a graphic design element called a brand _____.

a.	symbol
b.	trademark
c.	logo
d.	image
e.	visual

ANS: C PTS: 1

34.A good logo should _____.

a.	be very simple
b.	be very complex
c.	be recognized easily
d.	convey different meanings to the various target members
e.	All of these are correct.

ANS: C PTS: 1

35._____ refers to a number of different author or company creations for which a set of exclusive rights are recognized under law.

a.	Legal tender
b.	Intellectual property
c.	Tangible property
d.	Assets
e.	Recoverable assets

ANS: B PTS: 1

36.All of the following are types of intellectual property except _____.

a.	patents
b.	playbills
c.	copyrights
d.	trademarks
e.	None of these are correct.

ANS: B PTS: 1

37.Marketers are concerned with intellectual property because they wish to protect _____.

a.	brand assets
b.	actual ideas
c.	revenue
d.	corporate secrets
e.	All of these are correct.

ANS: A PTS: 1

38.A _____ permits an author or a firm to secure a monopoly or exclusive rights to use an invention for a period of 20 years.

a.	copyright
b.	playbill
c.	patent
d.	agreement
e.	trademark

ANS: C PTS: 1

39.For how many years does a patent grant the holder exclusive rights to use an invention?

a.	5 years
b.	15 years
c.	20 years
d.	75 years
e.	forever

ANS: C PTS: 1

40.How many types of patents exist in the United States?

a.	1
b.	3
c.	5
d.	10
e.	100

ANS: B PTS: 1

41.Which type of patent is the most frequent type in the United States?

a.	utility
b.	design
c.	plant
d.	copyright
e.	trademark

ANS: A PTS: 1

42.Patents for inventions including biological, business method, chemical, and software patents are of the _____ type.

a.	utility
b.	design
c.	plant
d.	copyright
e.	trademark

ANS: A PTS: 1

43.Patents that protect the appearance of shape, rather than the utilitarian function of an invention, is of the _____ type.

a.	utility
b.	design
c.	plant
d.	copyright
e.	trademark

ANS: B PTS: 1

44._____ patents offer protection for discovery of certain naturally occurring and previously uncultivated plants or for the breeding of novel plants.

a.	Utility
b.	Design
c.	Plant
d.	Copyright
e.	Trademark

ANS: C PTS: 1

45.VOSS water has an unusual shape. It may hold a _____ patent.

a.	utility
b.	design
c.	plant
d.	copyright
e.	trademark

ANS: B PTS: 1

46.All of the following are required in order for a patent to be obtained except _____.

a.	the filer must demonstrate the innovation is novel
b.	the filer must demonstrate the innovation is useful
c.	the filer must demonstrate the innovation is not obvious in process or product
d.	the filer must demonstrate the tangible nature of the innovation
e.	None of these are correct.

ANS: D PTS: 1

47.A _____ is a set of exclusive rights for the form in which an idea or invention is expressed in a tangible medium.

a.	patent
b.	copyright
c.	trademark
d.	tradedress
e.	design mark

ANS: B PTS: 1

48.A song scored on sheet music can receive protection with a _____.

a.	patent
b.	copyright
c.	trademark
d.	tradedress
e.	design mark

ANS: B PTS: 1

49.Brand associations including signs, marks, colors, smells, and sounds are part of a brand’s _____.

a.	trademark
b.	copyright
c.	trade dress
d.	slogan
e.	packaging

ANS: C PTS: 1

50.Kellogg lost the exclusive rights to their cereal name, Shredded Wheat, because the name was used to refer to all cereal made of shredded wheat. This is called _____.

a.	genericness
b.	resonance
c.	counterfeiting
d.	brand awareness
e.	disparagement

ANS: A PTS: 1

ESSAY

1.Select any consumer product. Explain the best way to promote the product for the awareness class, trier class, and repeater class.

ANS:

Students can select any consumer product, but their explanations should include a discussion of the steps in the New Product Adoption Process Model and marcom tools used to facilitate each stage. The first step in facilitating adoption is to make consumers aware of a product’s existence, and the four determinants of the awareness class are: free samples and coupons (B2C), trade shows and personal selling (B2B), advertising (B2C and B2B), and distribution (B2C and B2B). The first three are marcom activities, and the fourth, distribution, is closely allied in that point-of-purchase materials and shelf placement are aspects of a brand’s distribution. Coupons (B2C), distribution (B2C and B2B), and lower prices (B2C and B2B) are the factors that affect the trier class. Repeat purchasing, demonstrated by the repeater class, is a function of five primary forces: personal selling (B2B), advertising (B2C and B2B), price (B2C and B2B), distribution, (B2C and B2B), and product satisfaction (B2C and B2B). While it is undeniable that marcom efforts are critical to boosting repeat purchasing, it cannot substitute for poor product performance. Consumer satisfaction is the major determinant of repeat purchasing.

PTS: 1

2.What are the five product-related characteristics that undergird consumers’ attitudes toward new products? Taking the five characteristics into consideration, explain how marketers can increase the likelihood that consumers will adopt innovative products.

ANS:

The product-related characteristics that influence consumers’ attitudes toward new products and hence their likelihood of adopting new products are:

1.	Relative advantage. This represents the degree to which consumers perceive a product innovation as being better than existing alternatives with respect to a specific attribute or benefit and is positively correlated with an innovation’s adoption. Relative advantage is a function of consumer perceptions and is not a matter of whether a product is actually better by objective standards, but, in general, a relative advantage exists to the extent that a new product offers better performance compared to other options, savings in time and effort, or immediacy of reward.
2.	Compatibility. This is the degree to which an innovation is perceived to fit into a person’s way of doing things, and adoption rapidity is increased with greater compatibility. In general, a new product is more compatible to the extent that it matches consumers’ needs, personal values, beliefs, and past consumption habits.
3.	Complexity. This refers to an innovation’s degree of perceived difficulty, and the more difficult an innovation is to understand or use, the slower the rate of adoption.
4.	Trialability. This refers to the extent to which an innovation can be used on a limited basis prior to making a full-blown commitment, and products that lend themselves to trialability tend to be adopted more rapidly. Trialability is tied closely to the concept of perceived risk, and the trial experience serves to reduce the consumer’s risk of being dissatisfied with a product after having permanently committing to it through an outright purchase. Sampling is an incomparable promotional method for encouraging trial.
5.	Observability. This is the degree to which the product user or other people can observe the positive effects of new-product usage, and high observability/visibility generally results in more rapid adoption.

PTS: 1

3.List the four requirements for a good brand name, and discuss how some brands succeed while appearing to be entirely at odds with the “rules” for creating good brand names.

ANS:

Brand names should satisfy four fundamental requirements:

1.	Distinguish the brand from competitive offerings.
2.	Describe the brand and its attributes or benefits.
3.	Achieve compatibility with a brand’s desired image and with its product design or packaging.
4.	Be memorable and easy to pronounce.

Some brands succeed even though they are exceptions to these rules. For example, some brands become successful in spite of their names. The first brand in a new product category can achieve tremendous success regardless of its name if the brand offers customers distinct advantages over alternative solutions to their problems. Sometimes, brand managers intentionally select names that, at inception, are virtually meaningless. The empty-vessel philosophy implies that when a name does not have much preexisting meaning, subsequent communications are able to create the exact meaning desired without contending with past associations already accumulated in people’s memories.

PTS: 1

4.List and explain the steps of the brand naming process. Describe how a brand manager for a new brand of detergent would go through the process.

ANS:

Step 1: Specify objectives for the brand name. Most managers are concerned with selecting a name that will successfully position the brand in the minds of the target audience, provide an appropriate image for the brand, and distinguish it from competitive brands.

Step 2: Create candidate brand names. Candidates often are selected using creative-thinking exercises and brainstorming sessions.

Step 3: Evaluate candidate names. Evaluate names using criteria such as relevance to the product category, favorability of associations conjured up by the name, and overall appeal. It is critical that names be easily recognized and recalled.

Step 4: Choose a brand name. In many firms, choice is a matter of subjective judgement rather than the product of rigorous marketing research.

Step 5: Register a trademark. Many companies submit several names for registration because some may be rejected.

Students’ answers will vary when applying this process to developing a name for a new brand of detergent.

PTS: 1

5.Explain the role of the fair use doctrine in copyright protection.

ANS:

The fair use doctrine is part of the Copyright Act and it states that use of copyrighted work for the purpose of criticism, comment, news reporting, teaching, scholarship, or research is not a copyright infringement.

PTS: 1