COB 300: Marketing Antwerp Exam Questions with
Complete Solutions
Augmented Product - -additional services and benefits
-actual product - -attributes that combine delivery of core value
-core product - -what buyer really buys
-product - -bundle of benefits; more than tangible features
-brand equity - -added value endowed to products by brand
-brand name - -spoken part of brand
-brand mark - -symbol or design
-consumer brand equity - -effect that brand knowledge has on consumer response
to marketing of that brand
-financial brand equity - -discounted future income streams attributed to the brand
-brand awareness - -association of brand name with category need
-brand association - -strong, favorable, unique
-vertical line extension - -same product line but different prices
-horizontal line extension - -same product and same price
-brand dilution - -loss of clear positioning and meaning
-cannibalization - -new product eating up sales of old
-product life cycle - -1. product development stage
2. introduction stage
3. growth stage
4. maturity stage
5. decline stage
-Characteristics of a Service - -1. Intangibility
2. Inseparability
3. Inconsistency
4. Perishability
5. Absence of Ownership
-7 P's of Service Marketing - -Product
Price
Place
, Promotion
People
Process
Physical Evidence
-Service Profit Chain - -1. Internal service quality
2. Satisfied productive service employees
3. Greater service value
4. Satisfied and loyal customers
5. Healthy service-profits and growth
-Service Differentiation - -difficult to compare services prior to purchase leads to
intense price competition
-Final Price formula - -=list price - (incentives+allowances)+extra fees
-Value formula - -=perceived benefits/price
-Value based pricing - -using buyers' perceptions of value as basis for setting price
-good value pricing - -re-engineering company's operations to become low cost
producer without sacrificing quality to attract large number of value-conscious
customers
-Value added pricing - -attach value added service
ex: Louis Vuitton
-pricing objectives - -maximizing current profit
-product leadership - -high price to cover high R&D
-Market Skimming - -high price to skim maximum revenues layer by layer from the
segments willing to pay high price ex: iphones
-market penetration - -lower price to attract large target audience
-prestige pricing - -set high price for prestige
-price constraints - --demand for product
-newness of product
-cost oriented pricing - -based on costs of production and marketing costs plus a
reasonable return for risk
-cost plus pricing - -apply standard profit margin to costs
-target return pricing - -set price to achieve pre-set return (profit)
-Approaches to set Final Price: - -1. Demand-oriented
2. Cost-oriented
Complete Solutions
Augmented Product - -additional services and benefits
-actual product - -attributes that combine delivery of core value
-core product - -what buyer really buys
-product - -bundle of benefits; more than tangible features
-brand equity - -added value endowed to products by brand
-brand name - -spoken part of brand
-brand mark - -symbol or design
-consumer brand equity - -effect that brand knowledge has on consumer response
to marketing of that brand
-financial brand equity - -discounted future income streams attributed to the brand
-brand awareness - -association of brand name with category need
-brand association - -strong, favorable, unique
-vertical line extension - -same product line but different prices
-horizontal line extension - -same product and same price
-brand dilution - -loss of clear positioning and meaning
-cannibalization - -new product eating up sales of old
-product life cycle - -1. product development stage
2. introduction stage
3. growth stage
4. maturity stage
5. decline stage
-Characteristics of a Service - -1. Intangibility
2. Inseparability
3. Inconsistency
4. Perishability
5. Absence of Ownership
-7 P's of Service Marketing - -Product
Price
Place
, Promotion
People
Process
Physical Evidence
-Service Profit Chain - -1. Internal service quality
2. Satisfied productive service employees
3. Greater service value
4. Satisfied and loyal customers
5. Healthy service-profits and growth
-Service Differentiation - -difficult to compare services prior to purchase leads to
intense price competition
-Final Price formula - -=list price - (incentives+allowances)+extra fees
-Value formula - -=perceived benefits/price
-Value based pricing - -using buyers' perceptions of value as basis for setting price
-good value pricing - -re-engineering company's operations to become low cost
producer without sacrificing quality to attract large number of value-conscious
customers
-Value added pricing - -attach value added service
ex: Louis Vuitton
-pricing objectives - -maximizing current profit
-product leadership - -high price to cover high R&D
-Market Skimming - -high price to skim maximum revenues layer by layer from the
segments willing to pay high price ex: iphones
-market penetration - -lower price to attract large target audience
-prestige pricing - -set high price for prestige
-price constraints - --demand for product
-newness of product
-cost oriented pricing - -based on costs of production and marketing costs plus a
reasonable return for risk
-cost plus pricing - -apply standard profit margin to costs
-target return pricing - -set price to achieve pre-set return (profit)
-Approaches to set Final Price: - -1. Demand-oriented
2. Cost-oriented
