BCOR 2201 Sessions 7-11 Questions
with Verified Answers
Product Life Cycle - ✔✔Introduction stage (lab grown meat), growth stage (plant based milk),
maturity stage (healthy snacks), and a decline stage (cola drinks). Competition varies between
stages, introduction with least and so on.
Introduction stage - ✔✔few competitors, focus is on creating primary demand
Growth stage - ✔✔The category starts to become profitable and attracts new competition
maturity stage - ✔✔cursed with product proliferation, most competitors of any stage
Decline - ✔✔competitors thin out
ACCORD framework (explains speed of diffusion) - ✔✔1. Relative ADVANTAGE (how much
better is this innovation at solving some problem than existing ways of solving the same
problem) (most important)
2. COMPATIBILITY (with existing lifestyles and behaviors. for example, plant based meat in a
steakhouse)
3. OBSERVABILITY (an innovation that is consumed publicy will be easily discussed, rather than
privately)
4. Percieved RISK (financial, social, functional, physical)
5. DIVISIBILITY/trialibilaity (trying before buying)
Adopter categories - ✔✔1. Innovators
2. Early adopters
3. early majority
, 4. late majority
5. Laggards
Strong brands have associations that are... - ✔✔a. favorable, b. strong, c. unique
Points of parity vs. Points of difference - ✔✔Ripstick sells skateboards that are just as good as
others (point of parity) but with two wheels (point of difference)
what is a brand - ✔✔set of associations in consumers minds that make a product, service, or
organization identifiable and meaningful
Brand Personality - ✔✔Human like traits ascribed to a brand (sophisticated, rugged, etc) that
shape consumer self-expressive and emotional benefits
vertical vs horizontal differentation - ✔✔1. vertical differentiation (products differ in quality on
a commonly agreed scale: most consumers prefer more quality, but willingness to pay differs)
2. Horizontal differentiation (differ in taste/location/style, consumers disagree on which is
better even at the same quality/price)
Brand Equity - ✔✔Refers to the excess revenues a branded product earns relative to an
identical private label due to the brand's effects on demand
two ways brand equity creates extra revenue... - ✔✔1. Higher quantity at same price
2. Higher price at same quantity (or both)
How does strong branding affect demand curve? - ✔✔shifts outward (rightward)
what does outward demand shift imply? - ✔✔consumers value the branded offer more ->
greater willingness to pay and/or higher purchase likely hood at each price
with Verified Answers
Product Life Cycle - ✔✔Introduction stage (lab grown meat), growth stage (plant based milk),
maturity stage (healthy snacks), and a decline stage (cola drinks). Competition varies between
stages, introduction with least and so on.
Introduction stage - ✔✔few competitors, focus is on creating primary demand
Growth stage - ✔✔The category starts to become profitable and attracts new competition
maturity stage - ✔✔cursed with product proliferation, most competitors of any stage
Decline - ✔✔competitors thin out
ACCORD framework (explains speed of diffusion) - ✔✔1. Relative ADVANTAGE (how much
better is this innovation at solving some problem than existing ways of solving the same
problem) (most important)
2. COMPATIBILITY (with existing lifestyles and behaviors. for example, plant based meat in a
steakhouse)
3. OBSERVABILITY (an innovation that is consumed publicy will be easily discussed, rather than
privately)
4. Percieved RISK (financial, social, functional, physical)
5. DIVISIBILITY/trialibilaity (trying before buying)
Adopter categories - ✔✔1. Innovators
2. Early adopters
3. early majority
, 4. late majority
5. Laggards
Strong brands have associations that are... - ✔✔a. favorable, b. strong, c. unique
Points of parity vs. Points of difference - ✔✔Ripstick sells skateboards that are just as good as
others (point of parity) but with two wheels (point of difference)
what is a brand - ✔✔set of associations in consumers minds that make a product, service, or
organization identifiable and meaningful
Brand Personality - ✔✔Human like traits ascribed to a brand (sophisticated, rugged, etc) that
shape consumer self-expressive and emotional benefits
vertical vs horizontal differentation - ✔✔1. vertical differentiation (products differ in quality on
a commonly agreed scale: most consumers prefer more quality, but willingness to pay differs)
2. Horizontal differentiation (differ in taste/location/style, consumers disagree on which is
better even at the same quality/price)
Brand Equity - ✔✔Refers to the excess revenues a branded product earns relative to an
identical private label due to the brand's effects on demand
two ways brand equity creates extra revenue... - ✔✔1. Higher quantity at same price
2. Higher price at same quantity (or both)
How does strong branding affect demand curve? - ✔✔shifts outward (rightward)
what does outward demand shift imply? - ✔✔consumers value the branded offer more ->
greater willingness to pay and/or higher purchase likely hood at each price
