Consumer Behavior, 10e (Schiffman/Kanuk)



Consumer Behavior, 10e (Schiffman/Kanuk)

Chapter 6 Consumer Perception

1) Individuals act and react on the basis of ________, not on the basis of ________.

A) objective reality; their previous experiences

B) their previous experiences; their perceptions

C) their perceptions; objective reality

D) their perceptions; their previous experiences

E) their previous experiences; peer pressure

Answer: C

Diff: 1 Page Ref: 154

AACSB: Reflective Thinking

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

2) Which of the following products is likely the most difficult to position or differentiate clearly from competition?

A) soup

B) gasoline

C) minivans

D) gym memberships

E) bath towels

Answer: B

Diff: 2 Page Ref: 154

AACSB: Reflective Thinking

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

3) The process by which an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world is known as ________.

A) observation

B) perception

C) realization

D) rationalization

E) understanding

Answer: B

Diff: 1 Page Ref: 157

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

4) ________ can simply be described as "how we see the world around us."

A) Knowledge

B) Perception

C) Motivation

D) Attitude

E) Understanding

Answer: B

Diff: 2 Page Ref: 157

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

5) ________ is(are) the immediate and direct response of the sensory organs to stimuli.

A) Sensory receptors

B) Sensation

C) Sensory input

D) Sensory adaptation

E) Sensory blocking

Answer: B

Diff: 2 Page Ref: 157

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

6) Products, packages, brand names, advertisements, and commercials are examples of ________.

A) sensations

B) receptors

C) realities

D) stimuli

E) intensities

Answer: D

Diff: 2 Page Ref: 157

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

7) As sensory input ________, our ability to detect changes in input or intensity ________.

A) decreases; increases

B) increases; increases

C) decreases; remains constant

D) remains constant; decreases

E) increases; remains constant

Answer: A

Diff: 2 Page Ref: 157

AACSB: Analytic Skills

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

8) The point at which a person can detect a difference between "something" and "nothing" is that person's ________ for that stimulus.

A) adaptation level

B) absolute threshold

C) just noticeable difference

D) differential threshold

E) sensory adaptation

Answer: B

Diff: 1 Page Ref: 157

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

9) Two people driving together may spot a billboard at different times. This means they have different ________.

A) absolute thresholds

B) differential thresholds

C) just noticeable differences

D) adaptation levels

E) sensory adaptations

Answer: A

Diff: 2 Page Ref: 157

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

10) John drives by the same billboard every day on his way to work. He has seen the billboard so many times, that he no longer notices it. This is an example of ________.

A) sensory adaptation

B) just noticeable difference

C) differential threshold

D) perceptual blocking

E) absolute threshold

Answer: A

Diff: 3 Page Ref: 158

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

11) Sensory adaptation is of concern to national advertisers, who try to continuously change their advertising campaigns. They are concerned that consumers will ________.

A) get bored of their ads

B) get used to their ads

C) not understand their ads as intended

D) develop negative reactions to their ads

E) become more attuned to competing advertising

Answer: B

Diff: 2 Page Ref: 158

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

12) Some TV ads decrease sensory input by using silence in their ads to generate attention. This is a form of advertising used in order to overcome ________.

A) sensation

B) preference for competitive advertisements

C) sensory adaptation

D) the just noticeable difference

E) perceptual blocking

Answer: C

Diff: 2 Page Ref: 158

AACSB: Reflective Thinking

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

13) The minimal difference that can be detected between two similar stimuli is called the ________.

A) perceptual threshold

B) differential threshold

C) sensory threshold

D) absolute threshold

E) sensation threshold

Answer: B

Diff: 2 Page Ref: 158

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

14) Weber's law states that ________.

A) the stronger the initial stimulus, the weaker the second stimulus must be to exceed the j.n.d.

B) the j.n.d. of a second stimulus is inversely related to the strength of the original stimulus

C) the stronger the initial stimulus, the greater the second stimulus must be to exceed the j.n.d.

D) consumers who buy the same products regularly are more likely than those who buy less frequently to notice changes in price, packaging, or product attributes

E) the more information consumers are given about a particular product, the more likely they are to purchase that product

Answer: C

Diff: 2 Page Ref: 158

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

15) Which of the following is true of j.n.d.?

A) Decreasing prices below consumers' j.n.d. is likely to cause a significant rise in sales.

B) Making product improvements that far exceed consumers' j.n.d. is likely to maximize company revenues.

C) There is no j.n.d. for decreased product volume sold in existing packaging

D) Making drastic changes to a company's logo to an extent well beyond just below consumers' j.n.d. allows companies to update their image without losing their ready recognition.

E) Increasing prices below consumers' j.n.d. is likely to go unnoticed by consumers.

Answer: E

Diff: 3 Page Ref: 159

AACSB: Reflective Thinking

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

16) A stimulus may be too faint or brief to be consciously seen or heard, such as a deeply embedded or a very briefly flashed image, but may still be perceived by one or more sensory receptor cell. This is called ________.

A) subliminal perception

B) sequential transition

C) supraliminal perception

D) sensory adaptation

E) perceptual blocking

Answer: A

Diff: 1 Page Ref: 160

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

17) ________ are the two kinds of inputs that interact to form individual perceptions.

A) Subliminal messaging and physical stimuli

B) Contrast and creativity

C) Change and consistency

D) Physical stimuli and predispositions based on previous experience

E) Predispositions based on previous experience and creativity

Answer: D

Diff: 2 Page Ref: 161

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

18) Which of the following is true of the relationship between consumers' perceptions and their expectations?

A) Stimuli that align closely with expectations tend to receive more attention than those that conflict sharply with expectations.

B) Ads with irrelevant sexuality generally lead to better recall of the product advertised due to the attention-getting nature of the sexual content.

C) People tend to make observations and arrive at conclusions completely independent of their expectations.

D) Consumers tend to perceive products and product attributes according to their own expectations.

E) What consumers expect to see is completely dependent on their previous first-hand experience with the particular product or advertising medium.

Answer: D

Diff: 2 Page Ref: 163

AACSB: Reflective Thinking

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

19) Which of the following is true of the relationship between consumers' perceptions and their motives?

A) In general, there is a heightened awareness of stimuli that are irrelevant to consumers' needs.

B) The stronger the consumer's need, the greater the tendency to ignore related stimuli in the environment.

C) In general, there is decreased awareness of stimuli that are relevant to consumers' needs.

D) The stronger the consumer's need, the greater the tendency to pay attention to related stimuli in the environment.

E) Consumers tend to pay equal attention to all advertising, regardless of their needs at any given time.

Answer: D

Diff: 2 Page Ref: 163

AACSB: Reflective Thinking

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

20) ________ is a concept related to perception. People actively seek out messages that they find pleasant and actively avoid painful or threatening ones.

A) Selective attention

B) Selective exposure

C) Perceptual defense

D) Perceptual blocking

E) Perceptual organization

Answer: B

Diff: 1 Page Ref: 163

AACSB: Analytic Skills

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

21) After buying a Mini Cooper, Kate began paying more attention to advertisements for Mini and spent more time on websites reading about how much Mini drivers love their cars. This is an example of ________.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual blocking

E) perceptual organization

Answer: B

Diff: 2 Page Ref: 163

Skill: Application

Objective: 6.2: Learn about the three elements of perception

22) ________ refers to consumers' heightened awareness of stimuli that meet their needs or interests, and minimal awareness of stimuli irrelevant to their needs.

A) Selective attention

B) Selective exposure

C) Perceptual defense

D) Perceptual blocking

E) Perceptual organization

Answer: A

Diff: 1 Page Ref: 163

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

23) Listening to the radio on the way home from work, Paul is particularly aware of an ad for McDonalds because he is getting hungry. This is an example of ________.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual blocking

E) perceptual organization

Answer: A

Diff: 2 Page Ref: 163

Skill: Application

Objective: 6.2: Learn about the three elements of perception

24) Consumers subconsciously screen out stimuli that they find psychologically threatening, even though exposure has already taken place. This is consistent with the perception factor of ________.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual differentiation

E) perceptual organization

Answer: C

Diff: 1 Page Ref: 163

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

25) Which of the following is true of selective perception?

A) Consumers actively seek out messages that are painful or threatening.

B) Consumers selectively expose themselves to advertisements that reassure them of the wisdom of their purchase decisions.

C) Consumers have a heightened awareness of stimuli irrelevant to their needs and minimal awareness of stimuli that meet their needs or interests.

D) Threatening stimuli are more likely to be consciously perceived than are neutral stimuli.

E) Consumers are unable to block excessive stimuli from conscious awareness.

Answer: B

Diff: 3 Page Ref: 163-164

AACSB: Reflective Thinking

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

26) Canada requires tobacco firms to feature graphic health warnings on cigarette packs. In a perception context, this is to try to combat ________ where people no longer pay attention to the warning labels on packets.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual differentiation

E) perceptual organization

Answer: C

Diff: 1 Page Ref: 164

Skill: Application

Objective: 6.2: Learn about the three elements of perception

27) Consumers need to protect themselves from being bombarded with stimuli by simply tuning out such stimuli from their conscious awareness. This is known as ________.

A) selective attention

B) selective exposure

C) perceptual defense

D) perceptual blocking

E) perceptual differentiation

Answer: D

Diff: 1 Page Ref: 162

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

28) Joe passes many billboards on his way to work, but rarely even recognizes that they are there because he is paying attention to the road. By blocking the stimuli of the billboards from his conscious awareness, Joe is engaging in ________.

A) defensive stimulation

B) selective exposure

C) perceptual defense

D) perceptual blocking

E) perceptual organization

Answer: D

Diff: 2 Page Ref: 162

Skill: Application

Objective: 6.2: Learn about the three elements of perception

29) In the figure and ground principle of Gestalt psychology, ________.

A) the ground is usually perceived as distinct and central to the image

B) the common line that separates the figure and the ground is generally attributed to the ground

C) figure-and-ground relationships are always interpreted in the same way

D) figure typically appears to be subordinate to ground and, therefore, less important

E) the ground is usually perceived as indefinite, hazy, and continuous

Answer: E

Diff: 3 Page Ref: 164

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

30) In product placement scenarios, marketers place an advertised product into a TV show or film by having it used by the cast, integrated into the plot, or associated with a character. In product placements, the product is considered the ________ and the show is the ________.

A) entertainment; brand

B) figure; ground

C) ground; perceptual organization

D) perceptual block; perceptual organization

E) ground; figure

Answer: B

Diff: 3 Page Ref: 164

AACSB: Analytic Skills

Skill: Application

Objective: 6.2: Learn about the three elements of perception

31) To simplify life, people have a natural tendency to select stimuli from the environment and organize them into groups and perceive them as a unified whole. In a perception context, this is known as ________.

A) perceptual defense

B) perceptual blocking

C) perceptual mapping

D) perceptual organization

E) selective perception

Answer: D

Diff: 2 Page Ref: 164

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

32) Individuals express their need for ________ by organizing their perceptions so that they form a complete picture.

A) closure

B) interpretation

C) grouping

D) figure-ground patterns

E) exposure

Answer: A

Diff: 1 Page Ref: 165

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

33) When stimuli are highly ambiguous, an individual will usually ________.

A) ignore them

B) block them out

C) interpret them according to one's own needs, wishes and interests

D) take extra time to understand the intentions of the source

E) consult others as to their meaning

Answer: C

Diff: 3 Page Ref: 165

AACSB: Reflective Thinking

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

34) When one retailer put a picture of an aloe vera leaf and the wording "aloe vera" on the surface of the mattress, consumers assumed that aloe vera was a component of the mattress cover and the retailer had great difficulty dispelling this misconception. This is an example of ________.

A) the halo effect

B) a consumer stereotype

C) the persistence of first impressions

D) effective product positioning

E) perceptual blocking

Answer: C

Diff: 2 Page Ref: 168

Skill: Application

Objective: 6.2: Learn about the three elements of perception

35) Marketers take advantage of ________ when they extend a brand name associated with one line of products to another.

A) physical appearances

B) perceptual blocking

C) the halo effect

D) the persistence of first impressions

E) consumers' tendency to jump to conclusions

Answer: C

Diff: 2 Page Ref: 168

Skill: Application

Objective: 6.2: Learn about the three elements of perception

36) In 2009, the Axe brand launched a line of hair care products to complement its existing assortment of body washes and deodorants, hoping to leverage the Axe brand equity to expand into a new category of men's personal care products. This is an example of a manufacturer taking advantage of ________.

A) physical appearances

B) perceptual blocking

C) the halo effect

D) the persistence of first impressions

E) perceptual blocking

Answer: C

Diff: 2 Page Ref: 168

Skill: Application

Objective: 6.2: Learn about the three elements of perception

37) The essence of successful marketing is the image that a product has in the mind of the consumer, that is, its ________.

A) quality

B) value

C) positioning

D) features

E) attributes

Answer: C

Diff: 2 Page Ref: 170

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

38) ________ creates an overall image of the company around which multiple products can be featured individually.

A) Positioning against the competition

B) Positioning based on a specific benefit

C) Finding an "unowned" position

D) Umbrella positioning

E) Filling several positions

Answer: D

Diff: 3 Page Ref: 169

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

39) ________ enables marketers to determine how their products or services appear to consumers in relation to competitive brands.

A) Perceptual mapping

B) Positioning

C) Repositioning

D) Perceptual blocking

E) Selective attention

Answer: A

Diff: 1 Page Ref: 172

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

40) Wal-Mart is a cost-leader in terms of its highly efficient supply chain and its ability to negotiate steep volume discounts from manufacturers. The retailer executes ________ by passing those savings on to consumers in the form of lower prices.

A) satisfaction-based pricing

B) reference pricing

C) relationship pricing

D) perceived pricing

E) efficiency pricing

Answer: E

Diff: 2 Page Ref: 176, Table 6.4

AACSB: Analytic Skills

Skill: Application

Objective: 6.2: Learn about the three elements of perception

41) ________ provides value by sharing with consumers the cost savings that the company has achieved by reducing the cost of providing the service

A) Satisfaction-based pricing

B) Reference pricing

C) Relationship pricing

D) Perceived pricing

E) Efficiency pricing

Answer: E

Diff: 2 Page Ref: 176, Table 6.4

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

42) ________ provides value by recognizing and reducing customers' perceptions of uncertainty and is particularly valuable in service settings due to the intangible nature of the product.

A) Satisfaction-based pricing

B) Reference pricing

C) Relationship pricing

D) Perceived pricing

E) Efficiency pricing

Answer: A

Diff: 3 Page Ref: 176, Table 6.4

Skill: Application

Objective: 6.2: Learn about the three elements of perception

43) Garden Masters offers a 30-day money-back guarantee to reduce the perceived risk of purchasing a new lawn mower. This is an example of ________.

A) satisfaction-based pricing

B) reference pricing

C) relationship pricing

D) perceived pricing

E) efficiency pricing

Answer: A

Diff: 3 Page Ref: 176, Table 6.4

Skill: Application

Objective: 6.2: Learn about the three elements of perception

44) The Enthusiast magazine offers a discount over newsstand prices for readers who subscribe for 1 year, and even greater discounts for readers who pay for a 2-year subscription. This is an example of ________.

A) satisfaction-based pricing

B) reference pricing

C) relationship pricing

D) perceived pricing

E) efficiency pricing

Answer: C

Diff: 3 Page Ref: 176, Table 6.4

Skill: Application

Objective: 6.2: Learn about the three elements of perception

45) ________ provides value by encouraging long-term relationships with the company that customers view as beneficial.

A) Satisfaction-based pricing

B) Reference pricing

C) Relationship pricing

D) Perceived pricing

E) Efficiency pricing

Answer: C

Diff: 3 Page Ref: 176, Table 6.4

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

46) A ________ is any price that a consumer uses as a basis for comparison in judging another price.

A) tensile

B) objective

C) discount

D) reference

E) superficial

Answer: D

Diff: 1 Page Ref: 176

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

47) ________ are those prices currently offered at other retail outlets, whereas ________ are those prices retrieved by the consumer from memory.

A) External reference prices; internal reference prices

B) Transaction utilities; cognitive dissonances

C) Implausible high prices; objective price claims

D) Tensile price claims; plausible low prices

E) Relationship pricing schemes; satisfaction-based prices

Answer: A

Diff: 2 Page Ref: 176

AACSB: Analytic Skills

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

48) Packaging, pricing, and advertising are examples of ________.

A) intrinsic characteristics

B) product references

C) consumer expectations

D) extrinsic characteristics

E) objective characteristics

Answer: D

Diff: 1 Page Ref: 178

Skill: Application

Objective: 6.2: Learn about the three elements of perception

49) Which of the following is true of services?

A) It is more difficult for consumers to evaluate the quality of products than the quality of services.

B) Services are simultaneously produced and consumed.

C) Services are tangible.

D) Services are highly consistent in quality.

E) Services are durable.

Answer: B

Diff: 2 Page Ref: 178

AACSB: Reflective Thinking

Skill: Application

Objective: 6.2: Learn about the three elements of perception

50) Consumers tend to use price as a surrogate indicator of quality if ________.

A) they have little information with which to make their purchase decision

B) they have confidence in their ability to make an educated product or service choice

C) they are familiar with the brand name

D) they have experience with the store in which the product was purchased

E) they have experience with the product or service

Answer: A

Diff: 2 Page Ref: 180

AACSB: Analytic Skills

Skill: Application

Objective: 6.2: Learn about the three elements of perception

51) The purpose of institutional advertising is to ________.

A) promote a specific product line

B) promote a specific retail outlet as a way of improving the manufacturer's image through the retail store image

C) boost the corporate image

D) enter a product category totally unrelated to the one with which the corporate name has become synonymous

E) promote the product category as a whole

Answer: C

Diff: 3 Page Ref: 183

AACSB: Communication

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

52) When consumers buy the most expensive model to mitigate the risk of purchasing a poorly performing product, they are using ________ to minimize their risk.

A) information-seeking behavior

B) brand loyalty

C) narrow categorization

D) the price/quality relationship

E) perceptual blocking

Answer: D

Diff: 2 Page Ref: 184, Table 6.6

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

53) Low-risk perceivers have been described as broad categorizers and tend to ________.

A) make their choices from a wide range of alternatives

B) limit their choices to a few safe options

C) exclude some perfectly good alternatives in order to minimize the chance of a poor selection

D) avoid new product about which they know little

E) be very brand loyal

Answer: A

Diff: 3 Page Ref: 185

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

54) Barry has avoided purchasing a new laptop because prices keep falling and he is worried that, if he buys a laptop today, the same laptop will be cheaper in six months. Barry perceives ________ associated with the purchase of a new laptop.

A) financial risk

B) social risk

C) psychological risk

D) functional risk

E) time risk

Answer: A

Diff: 2 Page Ref: 184, Table 6.6

Skill: Application

Objective: 6.2: Learn about the three elements of perception

55) Alice needs a new cell phone, but is anxious about which phone she should buy. Many of her friends own popular phone models but complain about lost calls, short battery life, and poor predictive text functionality. While she has identified several attractive phone models, she doesn't feel like she can really try the phones out in such an artificial setting and is nervous that she might pick a phone that doesn't work as well as she had hoped. Alice perceives ________ associated with the purchase of a new phone.

A) financial risk

B) social risk

C) psychological risk

D) functional risk

E) time risk

Answer: D

Diff: 2 Page Ref: 184, Table 6.6

Skill: Application

Objective: 6.2: Learn about the three elements of perception

56) ________ is the risk that the time and effort spent in product search may be wasted if the product does not perform as expected.

A) Financial risk

B) Social risk

C) Psychological risk

D) Functional risk

E) Time risk

Answer: E

Diff: 2 Page Ref: 184, Table 6.6

Skill: Application

Objective: 6.2: Learn about the three elements of perception

CELL PHONE MINI CASE: Hype Mobile is a Korean cellular phone manufacturer that has significant market share in the United States and was the first to introduce camera phones to the US market. Its most recent advertising campaign showed three of its phone models and three people in different clothing fashions and asked readers to match the phone with the caller. In order to reach its hip, young, always-on-the-go target market, Hype placed these ads in bathroom stalls in trendy metropolitan night clubs. Mobile Power, Hype's leading competitor, tried to downplay Hype's trendy reputation by offering consumers a 7-day money-back customer satisfaction guarantee and a 2-year warrantee on its phones, advertising its products as "mobile tools that are more than just hype."

57) In the CELL PHONE MINI CASE, Hype's advertisements engage the attention of audiences by playing on their need for ________.

A) closure

B) grouping

C) stereotypes

D) peer pressure

E) figure-and-ground relationships

Answer: A

Diff: 2 Page Ref: 165

Skill: Application

Objective: 6.2: Learn about the three elements of perception

58) In the CELL PHONE MINI CASE, Hype's placement of advertisements in bathroom stalls is an attempt to overcome consumers' ________ by placing ads in unexpected and nontraditional places, where consumers are not preconditioned to tune out advertising stimuli

A) selective exposure

B) perceptual organization

C) selective attention

D) perceptual defense

E) perceptual blocking

Answer: E

Diff: 3 Page Ref: 164

AACSB: Reflective Thinking

Skill: Application

Objective: 6.2: Learn about the three elements of perception

59) In the CELL PHONE MINI CASE, Mobile Power's money-back guarantee and warrantee are a form of ________ pricing.

A) benchmark

B) reference

C) efficiency

D) relationship

E) satisfaction-based

Answer: E

Diff: 2 Page Ref: 176, Table 6.4

Skill: Application

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

60) In the CELL PHONE MINI CASE, Mobile Power's money-back guarantee is an attempt to help mitigate consumers' perception of ________.

A) functional risk

B) financial risk

C) psychological risk

D) social risk

E) physical risk

Answer: B

Diff: 2 Page Ref: 184, Table 6.6

AACSB: Analytic Skills

Skill: Application

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

61) In the CELL PHONE MINI CASE, Mobile Power's warrantee is an attempt to help mitigate consumers' perception of ________.

A) functional risk

B) financial risk

C) psychological risk

D) social risk

E) physical risk

Answer: A

Diff: 2 Page Ref: 184, Table 6.6

Skill: Application

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

SAUCE MINI CASE: In 2008, Ragu launched an assortment of its commercially successful sauces in microwavable pouches and promoted them as a way for busy moms to serve a healthful, fast, home-cooked meal to their children while minimizing the mess of cooking by eliminating the need for a second pot to heat the pasta sauce. The pouches held fewer servings of sauce and were slightly more expensive per ounce than the traditional jars that made up their sauce line.

62) In the SAUCE MINI CASE, Ragu chose to launch some of its most successful flavors in the new pouch packaging format in order to take advantage of ________ to gain quick customer acceptance of the new format.

A) perceptual mapping

B) Gestalt psychology

C) the halo effect

D) selective exposure

E) consumers' need for closure

Answer: C

Diff: 3 Page Ref: 168

Skill: Application

Objective: 6.2: Learn about the three elements of perception

63) In the SAUCE MINI CASE, if consumers fail to notice the price difference between the pouch and jar formats of Ragu sauces, the price discrepancy is said to fall below consumers' ________.

A) differential threshold

B) absolute threshold

C) perceived risk

D) sensory reception

E) subliminal level

Answer: A

Diff: 2 Page Ref: 158

AACSB: Analytic Skills

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

64) In the SAUCE MINI CASE, by packaging its most popular sauce flavors in the pouch format, instead of new flavors, Ragu is seeking to minimize consumers' perception of ________.

A) physical risk

B) functional risk

C) psychological risk

D) financial risk

E) time risk

Answer: B

Diff: 2 Page Ref: 184

Skill: Application

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

65) In the SAUCE MINI CASE, by packaging its most popular sauce flavors in the pouch format, instead of new flavors, Ragu is trying to appeal to ________.

A) low-risk perceivers

B) broad categorizers

C) consumer innovators

D) narrow categorizers

E) process-oriented consumers

Answer: D

Diff: 2 Page Ref: 184

AACSB: Analytic Skills

Skill: Application

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

66) In the SAUCE MINI CASE, if Ragu paid to have the mothers in a television sitcom use Ragu pouches while cooking dinner during an episode of a show, this would be an example of ________.

A) perceptual blocking

B) selective exposure

C) product placement

D) cognitive dissonance

E) perceptual selection

Answer: C

Diff: 2 Page Ref: 164

Skill: Application

Objective: 6.2: Learn about the three elements of perception

JUICE MINI CASE: Fruit Fusions is a well-known producer of organic fruit blended yogurts. It recently decided to start producing fruit juices under the Fruit Fusions name as well. The company's research determined that there was a potential niche market for organic fruit juices packaged in small single servings and sold as an alternative to canned soft drinks typically consumed during lunch. In trying to price the new line of drinks, Fruit Fusions asked consumers what they thought other drinks of a comparable quality cost, and what they considered to be a fair price for this kind of drink. With the slogan "Nothing this good comes in a can," the juice line's print ads feature a brightly colored bottle of juice on a completely white background and are placed in magazines specializing in health and wellness.

67) In the JUICE MINI CASE, Fruit Fusions is taking advantage of ________ in extending its brand name association to its new juice line as a means of increasing consumer acceptance of the new product.

A) umbrella positioning

B) product repositioning

C) contrast

D) consumer stereotypes

E) the halo effect

Answer: E

Diff: 3 Page Ref: 168

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

68) In the JUICE MINI CASE, Fruit Fusions only sells its new juice line through high-end grocery stores and lunch boutiques in an effort to create a high-end reputation for its juice line through ________.

A) retail store image

B) consumer stereotypes

C) playing on consumers' need for closure

D) making a good first impression

E) perceived risk

Answer: A

Diff: 2 Page Ref: 178

AACSB: Analytic Skills

Skill: Application

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

69) In the JUICE MINI CASE, Fruit Fusions' print ads are meant to draw a reader's attention through ________.

A) consumers' need for closure

B) an attribute focus

C) figure-and-ground relationships

D) consumers' tendency to jump to conclusions

E) consumers' tendency to group stimuli together

Answer: C

Diff: 3 Page Ref: 164

AACSB: Reflective Thinking

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

70) In the JUICE MINI CASE, Fruit Fusions explores consumers' ________ in order to determine the best price for its new fruit drinks.

A) external reference prices

B) efficiency prices

C) relationship prices

D) internal reference prices

E) satisfaction-based prices

Answer: D

Diff: 3 Page Ref: 176

AACSB: Analytic Skills

Skill: Application

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

71) In the JUICE MINI CASE, Fruit Fusions places its advertisements in magazines focused on health and wellness under the assumption that people reading such magazines are interested in health foods and are more likely to notice the Fruit Fusions ad there than while reading a magazine focused on news and entertainment. This phenomenon is known as ________.

A) selective exposure

B) perceptual defense

C) perceptual organization

D) selective attention

E) perceptual blocking

Answer: D

Diff: 3 Page Ref: 163

AACSB: Reflective Thinking

Skill: Application

Objective: 6.2: Learn about the three elements of perception

72) For each individual, reality is a totally personal phenomenon, based on that person's needs, wants, values, and personal experiences.

Answer: TRUE

Diff: 2 Page Ref: 154

AACSB: Reflective Thinking

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

73) Marketers are much more interested in what consumers objectively know about their products than what they perceive.

Answer: FALSE

Diff: 2 Page Ref: 154

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

74) The minimal difference that can be detected between two similar stimuli is called the absolute threshold.

Answer: FALSE

Diff: 2 Page Ref: 157

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

75) According to Weber's law, a consumer will notice a 25 cent rise in the price of a 50 cent product more than a 25 cent rise in the price of a $10 product.

Answer: TRUE

Diff: 1 Page Ref: 158

AACSB: Analytic Skills

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

76) The marketer's objective is to far exceed consumers' j.n.d. for product improvements in order to engender greater brand loyalty from consumers.

Answer: FALSE

Diff: 2 Page Ref: 159

AACSB: Reflective Thinking

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

77) Whenever a person is stimulated, he or she is consciously aware of the stimulus.

Answer: FALSE

Diff: 1 Page Ref: 160

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

78) There is strong evidence that subliminal advertising persuades people to buy goods or services.

Answer: FALSE

Diff: 1 Page Ref: 160

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

79) As an input for individual perceptions, physical stimuli are provided by individuals themselves in the form of certain predispositions.

Answer: FALSE

Diff: 2 Page Ref: 161

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

80) People perceive all stimuli to which they are exposed.

Answer: FALSE

Diff: 1 Page Ref: 161

Skill: Application

Objective: 6.2: Learn about the three elements of perception

81) People usually see what they expect to see, and what they expect to see is usually based on familiarity, previous experience, or expectations.

Answer: TRUE

Diff: 2 Page Ref: 162

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

82) Irrelevant sexuality in advertising leads viewers to remember the sexual aspects of the ad, not the product or brand advertised.

Answer: TRUE

Diff: 2 Page Ref: 163

AACSB: Communication

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

83) In one type of perceptual defense, individuals sometimes unconsciously distort information that is not consistent with their needs, values, and beliefs.

Answer: TRUE

Diff: 2 Page Ref: 163

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

84) People tend to experience the numerous stimuli they select from the environment as separate and discrete sensations.

Answer: FALSE

Diff: 3 Page Ref: 164

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

85) Deliberate blurring of figure and ground, as when Absolut Vodka embeds the distinct shape of its bottle in a print image, can result in greater engagement of the audience with the advertisement.

Answer: TRUE

Diff: 2 Page Ref: 164

Skill: Application

Objective: 6.2: Learn about the three elements of perception

86) Completed messages or tasks are better remembered than those that are incomplete.

Answer: FALSE

Diff: 1 Page Ref: 165

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

87) When forming first impressions, the perceiver typically knows which stimuli are relevant, important, or predictive of later behavior.

Answer: FALSE

Diff: 1 Page Ref: 168

AACSB: Reflective Thinking

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

88) Products and brands have symbolic value for individuals, who evaluate them on the basis of their consistency with their personal pictures of themselves.

Answer: TRUE

Diff: 3 Page Ref: 168

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

89) Positioning is more important to the ultimate success of a product than are its actual characteristics.

Answer: TRUE

Diff: 1 Page Ref: 168

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

90) Because services are intangible, image becomes a key factor in differentiating a service from its competition.

Answer: TRUE

Diff: 2 Page Ref: 174

AACSB: Reflective Thinking

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

91) Unlike tangible products, most services are produced, and then sold and consumed simultaneously.

Answer: FALSE

Diff: 3 Page Ref: 178

Skill: Application

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

92) When consumers evaluate concrete attributes of a product, such as performance and durability, they rely less on price and brand name as indicators of quality than when they evaluate the product's prestige and symbolic value.

Answer: TRUE

Diff: 2 Page Ref: 180

AACSB: Analytic Skills

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

93) Consumers tend to perceive stores that offer a small discount on a large number of items as having lower prices overall than competing stores that offer larger discounts on a smaller number of products.

Answer: TRUE

Diff: 3 Page Ref: 183

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

94) Consumers are only influenced by risks that they perceive when those risks actually exist.

Answer: FALSE

Diff: 1 Page Ref: 183

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

95) The amount of risk perceived depends on the specific consumer.

Answer: TRUE

Diff: 1 Page Ref: 184

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

96) Psychological risk is the risk that a poor product choice may result in social embarrassment.

Answer: FALSE

Diff: 2 Page Ref: 184, Table 6.6

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

97) Define Weber's law in the context of the differential threshold and cite an example of Weber's law in practice.

Answer: Another term used for the differential threshold is the just noticeable difference. Earnst Weber discovered that the j.n.d. between two stimuli was not an absolute amount, but an amount relative to the intensity of the first stimulus. Weber's law states that the stronger the initial stimulus, the greater the additional intensity needed for the second stimulus to be perceived as different. For example, if the price of a large container of orange juice is $5.50, most consumers will probably not notice an increase of 25 cents, however, a similar 25 cent increase in the price of gasoline would be noticed very quickly by consumers because it is a significant percentage of the initial base cost of gasoline.

Diff: 3 Page Ref: 158

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

98) How do marketers take advantage of the j.n.d.?

Answer: Marketers need to determine the j.n.d. for their products for two reasons: (1) so that negative changes like reductions in product size are not readily discernable to the public, and (2) so that product improvements such as larger size are very apparent to consumers without being wastefully extravagant.

Diff: 2 Page Ref: 158-159

Skill: Application

Objective: 6.1: Understand the sensory dynamics of perception

99) What is subliminal perception? How does it relate to marketing?

Answer: When people are stimulated below their level of conscious awareness because the stimuli are too weak or too brief to be consciously seen or heard, this is known as subliminal perception.

Marketers have tried subliminal messaging in the past, but no real evidence shows that subliminal messaging can influence consumer decisions, even though in some instances it has. Some research shows that subliminal perception influences affective reactions, but not their activities or motives.

Diff: 2 Page Ref: 160

Skill: Concept

Objective: 6.1: Understand the sensory dynamics of perception

100) What is the difference between selective attention and perceptual defense?

Answer: Selective attention is when consumers exercise a great deal of selectivity in terms of the attention they give to commercial stimuli. They have a heightened awareness of stimuli that meet their needs or interests and minimal awareness for stimuli irrelevant to their needs. Consumers are more likely to notice ads about products that are of interest to them and disregard those that are not.

Perceptual defense is when consumers subconsciously screen out stimuli that they find psychologically threatening, even though exposure has already taken place. Furthermore, consumers sometimes unconsciously distort information that is not consistent with their needs, values and beliefs.

Diff: 2 Page Ref: 163

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

101) How important is it for marketers to make a good first impression?

Answer: It is critical that marketers perfect a product before launching it because first impressions are very hard to change. Subsequent information about a product's advantages, if the first impression was negative, will often be negated by the memory of the first impression. In forming impressions, the consumer perceiver does not know which stimuli are important, relevant or predictive of later behavior.

Diff: 2 Page Ref: 168

Skill: Concept

Objective: 6.2: Learn about the three elements of perception

102) What is the result of a successful positioning strategy and why is positioning so important for marketers?

Answer: The result of successful positioning strategy is a distinctive brand image on which consumers rely in making product choices. A positive brand image also leads to consumer loyalty, positive beliefs about the brand value, and a willingness to search for the brand. A positive brand image also promotes consumer interest in future brand promotions and inoculates consumers against competitors' marketing activities. As products become more complex and the marketplace more crowded, consumers rely more on the product's image and claimed benefits than on its actual attributes in making purchase decisions.

Diff: 3 Page Ref: 169

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

103) SERVQUAL is a scale that is designed to measure the gap between customer expectations or services and their perception of the service actually delivered. Describe the dimensions on which this scale is based.

Answer: The SERVQUAL scale measures the gap between customer expectations or services and their perceptions of the service actually delivered, based on the following five dimensions: reliability, responsiveness, assurance, empathy, and tangibility. These dimensions are divided into two groups: the outcome dimension, which focuses on the reliable delivery of the core service, and the process dimension, which focuses on how the core service is delivered. The process dimension includes employees' responsiveness, assurance, and empathy in handling customers, and the service's tangible aspects. The product dimension offers the service provider a significant opportunity to exceed customer expectations.

Diff: 3 Page Ref: 180

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

104) What are the types of perceived risk consumers have to deal with?

Answer:

1. Functional risk: that the product will not perform as expected

2. Physical risk: risk to oneself or others

3. Financial risk: that the product will not be worth the cost

4. Social risk: that the product choice may result in social embarrassment

5. Psychological risk: the risk that a poor product choice will bruise the consumer's ego

Diff: 3 Page Ref: 184, Table 6.6

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

105) There are many ways consumers handle risk. Identify and discuss three methods.

Answer: Consumers seek information about the products through word of mouth, salespeople, media, consumer reports, and other product information resources. The more information consumers have about their product, the more predictable the probable consequences, thus the lower the perceived risk.

Consumers are brand loyal: consumers avoid risk by remaining brand loyal to a brand with which they are satisfied instead of trying new or untried brands.

Consumers buy the most expensive model: when in doubt, consumers often feel that the most expensive model is probably the best in terms of quality, that is, they equate price with quality.

Diff: 2 Page Ref: 184, Table 6.6

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

106) Describe the perceptual technique. How do marketers use this technique in developing positioning strategies?

Answer: A perceptual map identifies one or more relevant product or service characteristics and identifies where existing product offerings fall in relation to those characteristics. This technique allows marketers to determine how they want their products or services to appear to consumers in relation to competitive brands relative to those characteristics. Because unfilled gaps on a perceptual map present opportunities for competitors, sophisticated marketers create several distinct offerings, often in the form of different brands, to fill several identified niches.

Diff: 2 Page Ref: 172-173

Skill: Concept

Objective: 6.3: Understand the components of consumer imagery and their strategic applications

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