Marketing quốc tế 10 brand decision

Marketing Management, 14e (Kotler/Keller) Chapter 10 Crafting the Brand Positioning 1) All marketing strategy is built on STPsegmentation, targeting, and A) positioning B) product C) planning D) promotion E) performance Answer: A Page Ref: 275 Objective: AACSB: Analytic skills Difficulty: Easy 2) is the act of designing the company's offering and image to occupy a distinctive place in the minds of the target market A) Positioning B) Valuation C) Pricing D) Commercialization E) Launching Answer: A Page Ref: 276 Objective: AACSB: Analytic skills Difficulty: Easy 3) The goal of positioning is A) to locate the brand in the minds of consumers to maximize the potential benefit to the firm B) to discover the different needs and groups existing in the marketplace C) to target those customers marketers can satisfy in a superior way D) to collect information about competitors that will directly influence the firms' strategy E) to help the firm anticipate what the actions of its competitors will be Answer: A Page Ref: 276 Objective: Difficulty: Moderate Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 4) The result of positioning is the successful creation of , which provides a cogent reason why the target market should buy the product A) an award-winning promotional campaign B) a customer-focused value proposition C) a demand channel D) everyday low pricing E) employee value proposition Answer: B Page Ref: 276 Objective: AACSB: Reflective thinking Difficulty: Easy 5) Which of the following best describes a car company's value proposition? A) We charge a 20% premium on our cars B) We target safety-conscious upscale families C) We sell the safest, most durable wagon D) We are the market leader in the small car category E) We focus on expanding in faster-growing markets Answer: C Page Ref: 276 Objective: AACSB: Analytic skills Difficulty: Moderate 6) Which of the following best describes BR Chicken's value proposition? A) We sell chicken at most major malls B) We undertake home delivery services C) We target quality-conscious consumers of chicken D) We sell tender golden chicken at a moderate price E) We charge a 10% premium on our chicken Answer: D Page Ref: 276 Objective: AACSB: Analytic skills Difficulty: Moderate Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 7) The defines which other brands a brand competes with and therefore which brands should be the focus of competitive analysis A) consumer profitability analysis B) competitor indexing C) service blueprint D) competitive frame of reference E) cluster analysis Answer: D Page Ref: 276 Objective: Difficulty: Easy 8) refers to the products or sets of products with which a brand competes and which function as close substitutes A) Consumer profitability analysis B) Competitive frame of reference C) Category membership D) Value membership E) Demand field Answer: C Page Ref: 277 Objective: AACSB: Analytic skills Difficulty: Easy 9) are defined as companies that satisfy the same customer need A) Communities B) Competitors C) Trendsetters D) Industries E) Task groups Answer: B Page Ref: 278 Objective: Difficulty: Easy 10) A(n) is a group of firms offering a product or class of products that are close substitutes for one another A) community B) task force C) industry D) focus group E) umbrella brand Answer: C Page Ref: 278 Objective: Difficulty: Easy Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 11) Which of the following statements about blue ocean thinking is true? A) It involves designing creative business ventures to positively affect both a company's cost structure and its value proposition to consumers B) In blue ocean thinking, industry boundaries are defined and accepted, and the competitive rules of the game are known C) It involves crowded market space and reduced prospects for profit and growth D) It involves all the industries in existence today, the known market space and occupied market positions E) In blue ocean thinking, value to consumers comes from reintroducing factors the industry has previously offered Answer: A Page Ref: 278 Objective: Difficulty: Moderate 12) Which of the following terms is most closely associated with the statement: "attributes or benefits consumers strongly associate with a brand, positively evaluate, and believe that they could not find to the same extent with a competitive brand"? A) points-of-inflection B) points-of-difference C) points-of-parity D) points-of-value E) points-of-presence Answer: B Page Ref: 280 Objective: AACSB: Analytic skills Difficulty: Easy 13) are product associations that are not necessarily unique to the brand but may in fact be shared with other brands A) Points-of-parity B) Points-of-difference C) Points-of-inflection D) Points-of-presence E) Points-of-divergence Answer: A Page Ref: 280 Objective: Difficulty: Easy Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 14) The three criteria that determine whether a brand association can truly function as a point-ofdifference are A) comparability, authenticity, deliverability B) desirability, peculiarity, deliverability C) deviance, peculiarity, deformity D) desirability, deliverability, differentiability E) differentiability, authenticity, desirability Answer: D Page Ref: 280 Objective: Difficulty: Easy 15) Which of the following criteria relates to consumers seeing the brand association as personally relevant to them? A) deliverability B) authenticity C) desirability D) differentiability E) feasibility Answer: C Page Ref: 280 Objective: Difficulty: Easy 16) Which of the following criteria relates to the company having the internal resources and commitment to feasibly and profitably create and maintain the brand association in the minds of consumers? A) differentiability B) peculiarity C) desirability D) believability E) deliverability Answer: E Page Ref: 280 Objective: Difficulty: Easy Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 17) Which of the following criteria relates to consumers seeing the brand association as distinctive and superior to relevant competitors? A) desirability B) differentiability C) believability D) deliverability E) deviance Answer: B Page Ref: 280 Objective: Difficulty: Easy 18) The brand must demonstrate , for it to function as a true point-of-difference A) clear superiority on an attribute or benefit B) clear profitability to the company C) clear similarity to the attributes of other brands D) technological advances for an attribute or benefit E) exploitation of competitors' weakness Answer: A Page Ref: 280 Objective: Difficulty: Moderate 19) The two basic forms of points-of-parity are and A) conceptual points-of-parity; competitive points-of-parity B) strategic points-of-parity; conceptual points-of-parity C) category points-of-parity; deliverable points-of-parity D) competitive points-of-parity; peculiar points-of-parity E) category points-of parity; competitive points-of-parity Answer: E Page Ref: 280 Objective: Difficulty: Easy 20) are attributes or benefits that consumers view as essential to a legitimate and credible offering within a certain product or service class A) Category points-of-difference B) Conceptual points-of-parity C) Competitive points-of-parity D) Category points-of-parity E) Competitive points-of-difference Answer: D Page Ref: 280 Objective: Difficulty: Easy Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 21) Philip Morris bought Miller brewing and launched low-calorie beer, at a time when consumers had the impression that low-calorie beer does not taste as good as normal beer What does the company assure by stating that the beer tastes good? A) points-of-difference B) points-of-presence C) points-of-parity D) points-of-conflict E) points-of-inflection Answer: C Page Ref: 280-281 Objective: Difficulty: Moderate 22) Philip Morris bought Miller brewing and launched low-calorie beer, at a time when consumers had the impression that low-calorie beer does not taste as good as normal beer What did the company try to build when they conveyed the fact that the beer contained one third less calories and hence it is less filling? A) points-of-difference B) points-of-conflict C) points-of-parity D) points-of-presence E) points-of-inflection Answer: A Page Ref: 280- 281 Objective: Difficulty: Moderate 23) Consumers might not consider a hand sanitizer truly a hand sanitizer unless they are gels designed to apply topically, contain alcohol that kills the germs present on the skin, and developed for use after washing hands or for those times when soap and water are not available These service elements are considered A) competitive points-of-difference B) competitive points-of-parity C) category points-of-difference D) category points-of-parity E) conceptual points-of-parity Answer: D Page Ref: 280- 281 Objective: AACSB: Analytic skills Difficulty: Moderate Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 24) Nivea became the leader in the skin cream class on the "gentle", "protective" and "caring" platform The company further moved into classes such as deodorants, shampoos and cosmetics Attributes like gentle and caring were of no value unless consumers believed that its deodorant was strong enough, its shampoo would cleanse and its cosmetics would be colorful enough This is an example of A) competitive points-of-parity B) competitive points-of-difference C) category points-of-parity D) category points-of-difference E) competitive points-of-presence Answer: C Page Ref: 280- 281 Objective: AACSB: Analytic skills Difficulty: Moderate 25) are associations designed to overcome perceived weaknesses of the brand A) Conceptual points-of-parity B) Category points-of-difference C) Competitive points-of-parity D) Competitive points-of-difference E) Category points-of-parity Answer: C Page Ref: 281 Objective: Difficulty: Easy 26) As a marketing manager, which of the following would be the best purpose for your organization's competitive points-of-parity? A) to point out competitors' points-of-difference B) to emphasize competitors' points-of-difference C) to rationalize competitors' perceived points-of-difference D) to globalize competitors' perceived points-of-difference E) to negate competitors' perceived points-of-difference Answer: E Page Ref: 281 Objective: Difficulty: Moderate Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 27) A marketer that wants to anchor a point-of-difference for Dove soap on brand benefits might emphasize which of the following? A) the soap is one-quarter cleansing cream B) Dove products include bar soaps and shampoos C) Dove soap helps users have softer skin D) the soap brand has global presence E) the brand has recently launched soap for men Answer: C Page Ref: 283 Objective: AACSB: Analytic skills Difficulty: Moderate 28) Subway restaurants are positioned as offering healthy, great-tasting sandwiches allows the brand to create a point-of-parity (POP) on taste and a point-of-difference (POD) on health with respect to quick-serve restaurants such as McDonald's and Burger King and, at the same time, a POP on health and a POD on taste with respect to health food restaurants and cafés A) Category-based positioning B) Need-based positioning C) Noncomparitive positioning D) Straddle positioning E) Price-quality positioning Answer: D Page Ref: 283 Objective: AACSB: Reflective thinking Difficulty: Moderate 29) BMW positioned itself as the only automobile that offered both luxury and performance At that time, consumers saw U.S luxury cars as lacking performance It was able to achieve a pointof-difference on performance and a point-of-parity on luxury with respect to U.S luxury cars like Cadillac This is an example of A) straddle positioning B) category-based positioning C) need-based positioning D) noncomparitive positioning E) price-quality positioning Answer: A Page Ref: 283 Objective: Difficulty: Moderate Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 30) Marketers typically focus on in choosing the points-of-parity and points-ofdifference that make up their brand positioning A) brand equity B) brand awareness C) brand benefits D) brand architecture E) brand extensions Answer: C Page Ref: 283 Objective: Difficulty: Easy 31) are visual representations of consumer perceptions and preferences A) Procedural maps B) Brain maps C) Perceptual maps D) Procedural models E) Cognitive maps Answer: C Page Ref: 283 Objective: Difficulty: Easy 32) Straddle positions A) help firms to analyze who their competitors are B) allow brands to expand their market coverage and potential customer base C) are a necessity while creating a firm's vision and mission statement D) assist firms in collecting information on competitors that will directly influence their strategy E) are ambiguous moral principles behind the operation and regulation of marketing Answer: B Page Ref: 283 Objective: Difficulty: Moderate 33) Which of the following statements about brand mantras is true? A) They guide only major decisions, they have no influence on mundane decisions B) Their influence does not extend beyond tactical concerns C) They must economically communicate what the brand is and avoid communicating what it is not D) They can provide guidance about what ad campaigns to run and where and how to sell the brand E) They leverage the values of the brand to take the brand into new markets/sectors Answer: D Page Ref: 285 Objective: Difficulty: Easy 10 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 73) Which of the following statements about the branding guidelines for a small business is true? A) A small business must creatively conduct low-cost marketing research B) A small business must avoid leveraging secondary brand associations C) A small business must separate the well-integrated brand elements to enhance both brand awareness and brand image D) A small business must disintegrate the brand elements to maximize the contribution of each of the three main sets of brand equity drivers E) A small business must focus on building more than two strong brands based on a number of associations Answer: A Page Ref: 293- 294 Objective: Difficulty: Moderate 74) All marketing strategy is built on segmentation, targeting, and positioning Answer: TRUE Page Ref: 275 Objective: Difficulty: Easy 75) Positioning is the act of designing the company's offering and image to occupy a distinctive place in the minds of the target market Answer: TRUE Page Ref: 276 Objective: AACSB: Analytic skills Difficulty: Easy 76) The result of positioning is the successful creation of an employee-focused value proposition Answer: FALSE Page Ref: 276 Objective: Difficulty: Easy 77) Positioning requires that marketers define and communicate only the differences between their brand and its competitors Answer: FALSE Page Ref: 276 Objective: Difficulty: Easy 78) The competitive frame of reference defines which other brands a brand competes with Answer: TRUE Page Ref: 276 Objective: Difficulty: Easy 24 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 79) Category membership is seen as the products which function as close substitutes of a brand Answer: TRUE Page Ref: 277 Objective: AACSB: Analytic skills Difficulty: Easy 80) A company is more likely to be hurt by current competitors than by emerging competitors or new technologies Answer: FALSE Page Ref: 277 Objective: Difficulty: Easy 81) The industry concept of competition reveals a broader set of actual and potential competitors than competition defined in just the market concept Answer: FALSE Page Ref: 278 Objective: Difficulty: Easy 82) Using the industry approach, competitors are defined as companies that satisfy the same customer need Answer: FALSE Page Ref: 278 Objective: Difficulty: Easy 83) To analyze its competitors, a company needs to gather information about both the real and the perceived strengths and weaknesses of each competitor Answer: TRUE Page Ref: 279 Objective: Difficulty: Easy 84) Associations that make up points-of-difference are based exclusively on product features Answer: FALSE Page Ref: 280 Objective: AACSB: Reflective thinking Difficulty: Easy 25 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 85) Points-of-parity are attributes or benefits consumers strongly associate with a brand and believe that they could not find to the same extent with a competitive brand Answer: FALSE Page Ref: 280 Objective: AACSB: Analytic skills Difficulty: Easy 86) Points-of-parity may be shared among two or more brands Answer: TRUE Page Ref: 280 Objective: AACSB: Analytic skills Difficulty: Easy 87) Category points-of-parity are unique to a brand Answer: FALSE Page Ref: 280 Objective: AACSB: Analytic skills Difficulty: Easy 88) Category points-of-parity may change over time due to technological advances, legal developments, or consumer trends Answer: TRUE Page Ref: 281 Objective: AACSB: Reflective thinking Difficulty: Easy 89) Category points-of-parity are associations designed to overcome perceived weaknesses of the brand Answer: FALSE Page Ref: 281 Objective: Difficulty: Easy 90) A competitive point-of-parity negates competitors' perceived points-of-difference Answer: TRUE Page Ref: 281 Objective: Difficulty: Easy 26 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 91) Trying to be all things to all people leads to highest-common-denominator positioning, which is typically effective Answer: FALSE Page Ref: 282 Objective: Difficulty: Easy 92) Straddle positioning refers to a brand using different positioning with different categories of competitors Answer: FALSE Page Ref: 283 Objective: Difficulty: Easy 93) Occasionally, a company will be able to straddle two frames of reference with one set of points-of-difference and points-of-parity Answer: TRUE Page Ref: 283 Objective: Difficulty: Easy 94) Perceptual maps provide quantitative portrayals of market situations and the way consumers view different products, services, and brands along various dimensions Answer: TRUE Page Ref: 283 Objective: Difficulty: Easy 95) The purpose of brand mantras is to ensure that employees and external marketing partners understand what the brand is to represent to the customers Answer: TRUE Page Ref: 284 Objective: Difficulty: Easy 96) Brand mantras must communicate both what a brand is and what it is not Answer: TRUE Page Ref: 285 Objective: Difficulty: Easy 97) Brand mantras are typically designed to capture the brand's points-of-parity, that is, what is unique about the brand Answer: FALSE Page Ref: 286 Objective: Difficulty: Easy 27 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 98) Brands are never affiliated with categories in which they not hold membership Answer: FALSE Page Ref: 287 Objective: Difficulty: Easy 99) There are situations in which consumers know a brand's category membership but may not be convinced the brand is a valid member of the category Answer: FALSE Page Ref: 287 Objective: Difficulty: Easy 100) The typical approach to positioning is to inform consumers of a brand's membership before stating its point-of-difference Answer: TRUE Page Ref: 288 Objective: Difficulty: Easy 101) The product descriptor that follows the brand name is often a concise means of conveying category origin Answer: TRUE Page Ref: 288 Objective: Difficulty: Easy 102) If Barry compares his organization's products to those of leaders in the field, then he is conveying category membership by "comparing to exemplars" Answer: TRUE Page Ref: 288 Objective: Difficulty: Easy 103) A good illustration of negatively correlated attributes or benefits is good taste versus bad taste Answer: FALSE Page Ref: 288 Objective: AACSB: Reflective thinking Difficulty: Easy 28 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 104) A leverageable advantage is one that a company can use as a springboard to new advantages Answer: TRUE Page Ref: 289 Objective: Difficulty: Easy 105) Competitive advantage is a company's ability to perform in one or more ways that competitors cannot or will not match Answer: TRUE Page Ref: 289 Objective: Difficulty: Easy 106) The means of differentiation that are often most compelling to consumers relate to aspects of the product and service Answer: TRUE Page Ref: 290 Objective: AACSB: Reflective thinking Difficulty: Easy 107) Companies cannot achieve differentiation by differentiating their channels, as this is not the purpose of a distribution channel Answer: FALSE Page Ref: 290 Objective: AACSB: Analytic skills Difficulty: Easy 108) A good positioning should contain points-of-difference and points-of-parity that have rational but not emotional components Answer: FALSE Page Ref: 290 Objective: Difficulty: Easy 109) Brand storytelling is a less-structured approach to brand positioning Answer: TRUE Page Ref: 291-292 Objective: Difficulty: Easy 29 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 110) Narrative branding is based on deep metaphors that connect to people's memories, associations, and stories Answer: TRUE Page Ref: 292 Objective: Difficulty: Easy 111) Cultural branding is essential for small firms, but ineffective for large companies Answer: FALSE Page Ref: 293 Objective: Difficulty: Easy 112) Small businesses must focus on building one or two strong brands based on one or two key associations Answer: TRUE Page Ref: 293 Objective: Difficulty: Easy 113) While creating a loyal brand community is useful for large companies, it is not costeffective for small firms Answer: FALSE Page Ref: 293 Objective: Difficulty: Easy 114) What are the requirements for deciding on a positioning strategy? Answer: Positioning requires that marketers define and communicate similarities and differences between their brand and its competitors Specifically, deciding on a positioning requires: (1) determining a frame of reference by identifying the target market and relevant competition, (2) identifying the optimal points-of-parity and points-of-difference brand associations given that frame of reference, and (3) creating a brand mantra to summarize the positioning and essence of the brand Page Ref: 276 Objective: Difficulty: Moderate 115) With respect to positioning, explain points-of-parity and points-of-difference Answer: Points-of-difference (PODs) are attributes or benefits consumers strongly associate with a brand, positively evaluate, and believe that they could not find to the same extent with a competitive brand Points-of-parity (POPs), on the other hand, are associations that are not necessarily unique to the brand but may in fact be shared with other brands Page Ref: 280 Objective: AACSB: Analytic skills Difficulty: Moderate 30 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 116) With the help of an example, explain straddle positioning Answer: Occasionally, a company will be able to straddle two frames of reference with one set of points-of-difference and points-of-parity In these cases, the points-of-difference for one category become points-of-parity for the other and vice versa Subway restaurants are positioned as offering healthy, good-tasting sandwiches This positioning allows the brand to create a POP on taste and a POD on health with respect to quick-serve restaurants such as McDonald's and Burger King and, at the same time, a POP on health and a POD on taste with respect to health food restaurants and cafés Straddle positions allow brands to expand their market coverage and potential customer base Page Ref: 283 Objective: Difficulty: Moderate 117) Describe three methods by which a brand can communicate category membership Answer: There are three main ways to convey a brand's category membership: Announcing category benefits To reassure consumers that a brand will deliver on the fundamental reason for using a category, marketers frequently use benefits to announce category membership Comparing to exemplars Well-known, noteworthy brands in a category can also help a brand specify its category membership Relying on the product descriptor The product descriptor that follows the brand name is often a concise means of conveying category origin Page Ref: 288 Objective: Difficulty: Moderate 118) Briefly describe four brand differentiation strategies Answer: In addition to product and service differentiation, the four differentiation strategies are: (1) employee differentiationcompanies can gain a strong competitive advantage through having better-trained people; (2) channel differentiationcompanies can achieve competitive advantage through the way they design their distribution channels' coverage, expertise, and performance; (3) image differentiationcompanies can craft powerful, compelling images that appeal to consumers' social and psychological needs; and (4) services differentiationa service company can differentiate itself by designing a better and faster delivery system that provides more effective and efficient solutions to consumers Page Ref: 290 Objective: Difficulty: Moderate 31 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 119) Explain three variables a firm should consider when analyzing potential threats posed by competitors Answer: In general, the firm should monitor three variables when analyzing potential threats posed by competitors: Share of market—The competitors' share of the target market Share of mind—The percentage of customers who named the competitor in responding to the statement, "Name the first company that comes to mind in this industry." Share of heart—The percentage of customers who named the competitor in responding to the statement, "Name the company from which you would prefer to buy the product." Page Ref: 291 Objective: Difficulty: Moderate 120) Name and briefly explain three less-structured alternatives to competitive brand positioning Answer: Three alternatives to competitive branding are as follows: Brand narratives and storytelling: Rather than outlining specific attributes or benefits, some marketing experts describe positioning a brand as telling a narrative or story Brand journalism: Just as editors and writers for newspapers and magazines tell many facets of a story to capture the interests of diverse groups of people, marketers should communicate different messages to different market segments, as long as they at least broadly fit within the basic broad image of the brand Cultural branding: For companies to build iconic, leadership brands, they must assemble cultural knowledge, strategize according to cultural branding principles, and hire and train cultural experts Page Ref: 291 Objective: Difficulty: Moderate 121) What are the five elements of narrative branding as described by Randall Ringer and Michael Thibodeau? Answer: Randall Ringer and Michael Thibodeau see narrative branding as based on deep metaphors that connect to people's memories, associations, and stories They identify five elements of narrative branding: (1) the brand story in terms of words and metaphors, (2) the consumer journey in terms of how consumers engage with the brand over time and touch points where they come into contact with it, (3) the visual language or expression for the brand, (4) the manner in which the narrative is expressed experientially in terms of how the brand engages the senses, and (5) the role/relationship the brand plays in the lives of consumers Page Ref: 292 Objective: Difficulty: Moderate 32 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 122) Randall Ringer and Michael Thibodeau see narrative branding as based on deep metaphors that connect to people's memories, associations, and stories Briefly describe their framework for a brand story Answer: Based on literary convention and brand experience, Randall Ringer and Michael Thibodeau offer the following framework for a brand story: • Setting The time, place, and context • Cast The brand as a character, including its role in the life of the audience, its relationships and responsibilities, and its history or creation myth • Narrative arc The way the narrative logic unfolds over time, including actions, desired experiences, defining events, and the moment of epiphany • Language The authenticating voice, metaphors, symbols, themes, and leitmotifs Page Ref: 292 Objective: Difficulty: Moderate 123) How does a loyal brand community support the positioning and branding of a small business? Provide an example to support your explanation Answer: Student answers may vary Creating a vibrant brand community among current and prospective customers can be a costeffective way to reinforce loyalty and help spread the word to new prospects Web browser Mozilla Firefox is able to compete with Microsoft's Internet Explorer in part because of its dedicated volunteer group of 10,000 programmers who work on its open source coding Twelve fans of the brand felt so strongly about it they used two-by-fours and rope to hollow out a 30,000-square-foot impression of the brand's logo in an oat field outside Salem, Oregon! Page Ref: 293- 294 Objective: Difficulty: Moderate 124) With the help of an example, explain why a company's competition may not be from companies in the same category Answer: Student answers may vary Category membership includes the products or sets of products with which a brand competes and which function as close substitutes After having spent billions of dollars building their networks, cell phone carriers AT&T, Verizon Wireless, and Sprint face the threat of new competition emerging as a result of a number of changes in the marketplace: Skype and the growth of Wi-Fi hotspots, municipal Wi-Fi networks built by cities, and dual mode phones that can easily switch networks Page Ref: 277 Objective: AACSB: Analytic skills Difficulty: Moderate 33 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 125) Belling is a chain of coffee shops List possible competitors first from an industry point of view and then from the market point of view Answer: Student answers may vary From an industry point of view, Belling's competitors will be other coffee shops, coffee machines and outlets that sell coffee in addition to other foods From a market point of view, Belling's competitors could be anything from restaurants to supermarkets selling ready-to-drink coffee Page Ref: 278 Objective: AACSB: Analytic skills Difficulty: Moderate 126) There are three key consumer criteria that determine whether a brand association can truly function as a point-of-difference When the Westin Stamford hotel in Singapore advertised that it was the world's tallest hotel, it attempted to create a point-of-difference (POD) Explain why the hotel may not have been successful in its attempt to create its POD Answer: Student answers may vary Consumers must see the brand association as personally relevant to them Staying in the tallest hotel might not be a necessary need for most tourists, there might be other factors that are more important The hotel was not successful in its attempt to create its POD because of the desirability criteria associated with PODs Page Ref: 280 Objective: AACSB: Analytic skills Difficulty: Moderate 127) Belling is a chain of coffee shops Give an example of a category point-of-parity and a competitive point-of-parity for the company Answer: Student answers may vary A category point-of-parity for Belling could be its freshly-brewed coffee and friendly atmosphere A competitive point-of-parity could be its fast customer service times Page Ref: 280 Objective: AACSB: Analytic skills Difficulty: Moderate 128) Belling is a chain of coffee shops Give an example of a point-of-parity and a point-ofdifference for the company Answer: Student answers may vary Points-of-parity for Belling could be its freshly-brewed coffee or friendly atmosphere Points-of-difference could be its unusual interior design or laid-back attitude Page Ref: 280-281 Objective: Difficulty: Easy 34 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 129) Give an example of the use of straddle positioning Answer: Student answers may vary Subway restaurants are positioned as offering healthy, good-tasting sandwiches This positioning allows the brand to create a POP on taste and a POD on health with respect to quick-serve restaurants such as McDonald's and Burger King and, at the same time, a POP on health and a POD on taste with respect to health food restaurants and cafés Page Ref: 283 Objective: AACSB: Analytic skills Difficulty: Moderate 130) Define a brand mantra and provide an example of a brand mantra Answer: Student answers may vary A brand mantra is an articulation of the heart and soul of the brand and is closely related to other branding concepts like "brand essence" and "core brand promise." Brand mantras are short, three- to five-word phrases that capture the irrefutable essence or spirit of the brand positioning American Express's "World Class Service, Personal Recognition," is an example of a brand mantra Page Ref: 284 Objective: AACSB: Analytic skills Difficulty: Moderate 131) Give an example of how a brand can be affiliated with a category in which it does not hold membership Answer: Student answers may vary DiGiorno's frozen pizza has adopted a positioning strategy that identifies with a different category from its own—instead of putting it in the frozen pizza category, the marketers have positioned it in the delivered pizza category with ads that claim, "It's Not Delivery, It's DiGiorno!" Page Ref: 288 Objective: AACSB: Analytic skills Difficulty: Moderate 132) Belling begins most advertising messages by announcing category benefits and then moving on to its specific positioning Offer one reason why Belling may adopt this strategy Answer: Student answers may vary To reassure consumers that a brand will deliver on the fundamental reason for using a category, marketers such as Belling frequently use benefits to announce category membership Page Ref: 288 Objective: AACSB: Analytic skills Difficulty: Moderate 35 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 133) How can coffee shop chain Belling convey its category membership? List the methods it can use to achieve this Answer: The three main ways to convey a brand's category membership are: announcing category benefits; comparing to exemplars; and relying on the product descriptor Page Ref: 288 Objective: AACSB: Analytic skills Difficulty: Moderate 134) As a company seeks to establish a category membership designation, how does the company approach points-of-difference? What is done first? Answer: The typical approach to positioning is to inform consumers of a brand's membership before stating its point-of-difference Presumably, consumers need to know what a product is and what function it serves before deciding whether it dominates the brands against which it competes Page Ref: 288 Objective: AACSB: Reflective thinking Difficulty: Easy 135) Provide three examples of negatively correlated attributes and benefits Answer: Student answers may vary Some examples of negatively correlated attributes and benefits are: low price versus high quality, taste versus low calories, strong versus refined, powerful versus safe, and ubiquitous versus exclusive Page Ref: 288 Objective: AACSB: Analytic skills Difficulty: Moderate 136) Define leverageable advantage with an example Answer: A leverageable advantage is one that a company can use as a springboard to new advantages, much as Microsoft has leveraged its operating system to Microsoft Office and then to networking applications In general, a company that hopes to endure must be in the business of continuously inventing new advantages Page Ref: 289 Objective: AACSB: Analytic skills Difficulty: Moderate 36 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 137) How does a company differentiate its market offerings using employee differentiation? Provide an example of a company using employee differentiation Answer: Student answers may vary A company differentiating its market offerings using employee differentiation, does so by having better-trained personnel who provide superior customer service Singapore Airlines is well regarded in large part because of its flight attendants Page Ref: 290 Objective: AACSB: Analytic skills Difficulty: Moderate 138) Companies can achieve competitive advantage through the way they design their distribution channel What three areas are considered in this design process? Answer: Considerations to achieve competitive advantage in the distribution channel are in the areas of coverage, expertise, and performance Page Ref: 290 Objective: AACSB: Analytic skills Difficulty: Moderate 139) Belling wants to analyze the threats posed by its competitors Which three variables must it monitor to achieve this? Answer: To analyze the threats posed by its competitors, Belling must monitor the competitors' share of the market, share of mind and share of heart Page Ref: 290 Objective: Difficulty: Moderate 140) Sally's is a boutique bakery that specializes in cupcakes How can Sally's create channel differentiation to stand apart from its competitors? Answer: Student answers may vary Sally's can more effectively and efficiently design its distribution channels' coverage, expertise, and performance to make buying the product easier and more enjoyable and rewarding It can set up an online store or undertake home deliveries Page Ref: 290 Objective: AACSB: Analytic skills Difficulty: Moderate 37 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall 141) Sally's is a boutique bakery that specializes in cupcakes How can Sally's create image differentiation to stand apart from its competitors? Answer: Student answers may vary Sally's can use innovative and distinctive packaging for its products, or use interior design to give the store a distinctive look Page Ref: 291 Objective: AACSB: Analytic skills Difficulty: Moderate 142) Sally's is a boutique bakery that specializes in cupcakes Give one method by which Sally's can conduct low-cost market research Answer: Student answers may vary There are a variety of low-cost marketing research methods that help small businesses connect with customers and study competitors One way is to set up course projects at local colleges and universities to access the expertise of both students and professors Page Ref: 293 Objective: AACSB: Analytic skills Difficulty: Moderate 143) Sally's is a boutique bakery that specializes in cupcakes Give some methods by which Sally's can position itself without spending a lot on promotions Answer: Student answers may vary Because small businesses often must rely on word of mouth to establish their positioning, public relations, social networking, and low-cost promotions and sponsorship can be inexpensive alternatives for Sally's Creating a vibrant brand community among current and prospective customers can also be a cost-effective way to reinforce loyalty and help spread the word to new prospects Page Ref: 293 Objective: AACSB: Analytic skills Difficulty: Moderate 38 Copyright © 2012 Pearson Education, Inc Publishing as Prentice Hall ... spirit of the brand positioning and ensure that the company's own employees understand what the brand represents A) Brand mantras B) Brand symbols C) Brand logos D) Brand alliances E) Brand extensions... points-of-parity and points-ofdifference that make up their brand positioning A) brand equity B) brand awareness C) brand benefits D) brand architecture E) brand extensions Answer: C Page Ref: 283 Objective:... translation of the brand mantra that attempts to creatively engage consumers and others external to the company A) brand vision B) brand extension C) brand architecture D) brand slogan E) brand alliance