Marketing 13th Edition by Roger Kerin – Test Bank

Multiple Choice Questions

1. Which of the following statements is most accurate?

A. The name Gatorade was chosen because as an energy drink it “got you out the gate—fast.”

B. The name Gatorade was coined by a team who lost to the University of Florida Gators, attributing the Gator win to the “aid” it got from the rehydrating beverage.

C. The green color of the original lemon-lime Gatorade was based on the University of Florida’s alligator mascot.

D. Gatorade was developed by PepsiCo as a cause-marketing project to provide resources for women’s sports at the University of Florida as a result of the passage of Title IX in 1972.

E. Gatorade is the only sports drink marketer that doesn’t use sports celebrities to endorse its products.
The name Gatorade was coined by a team who lost to the University of Florida Gators in the Orange Bowl. See Chapter Opener Example: GATORADE: BRINGING SCIENCE TO SWEAT FOR 50 YEARS.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Learning Objective: 11-03 Recognize the importance of branding and alternative branding strategies.
Level of Difficulty: 1 Easy
Topic: Branding Strategy

2. Gatorade is classified as a(n) __________ brand.

A. domestic

B. regional

C. international

D. global

E. nationwide
Today, Gatorade is a global brand and sold in more than 80 countries. See Chapter Opener Example: GATORADE: BRINGING SCIENCE TO SWEAT FOR 50 YEARS.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Learning Objective: 11-03 Recognize the importance of branding and alternative branding strategies.
Level of Difficulty: 1 Easy
Topic: Branding Strategy

3. Products such as Gatorade Xtremo, Gatorade X-Factor, and Gatorade Endurance Formula were introduced to appeal to

A. brand-conscious consumers.

B. PepsiCo, the new owner of Gatorade.

C. new groups of consumers.

D. consumer who were already loyal to the brand.

E. the trends for fads in the beverage category.
Brand development accelerated after PepsiCo, Inc., purchased Quaker Oats and the Gatorade brand in 2001. Gatorade Xtremo, developed with a bilingual label for Latino consumers, was launched in 2002. Gatorade X-Factor followed in 2003. In 2005, Gatorade Endurance Formula was created for serious runners, construction workers, and other people doing long, sweaty workouts. Gatorade Rain, a lighter-tasting version of regular Gatorade, arrived in 2006. A low-calorie Gatorade called G2 appeared in 2008. See Chapter Opener Example: GATORADE: BRINGING SCIENCE TO SWEAT FOR 50 YEARS.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Learning Objective: 11-01 Explain the product life-cycle concept.
Level of Difficulty: 2 Medium
Topic: Charting the Product Life Cycle

4. Which of the following statements regarding Gatorade’s branding is most accurate?

A. Gatorade uses the same formula for all its products and simply changes the brand name when introducing new flavors.

B. Gatorade’s success can be attributed to management’s decision to find and then stick with one channel of distribution.

C. Gatorade changed its color, packaging, and size of items in the product line for the domestic market so that they would not conflict with those marketed to foreign markets.

D. Gatorade has used the same packaging since the product debuted in 1965.

E. Gatorade has changed its product formulation, packaging, and advertising over the years in response to changes in the marketplace.
Gatorade’s marketing performance is a direct result of continuous product improvement and masterful brand management. Gatorade has launched products with new formulae and a total packaging redesign. See Chapter Opener Example: GATORADE: BRINGING SCIENCE TO SWEAT FOR 50 YEARS.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Learning Objective: 11-02 Identify ways that marketing executives manage a product’s life cycle.
Level of Difficulty: 2 Medium
Topic: Product Life Cycle

5. To ________________ of Gatorade offerings from the traditional Gatorade Thirst Quencher, newly enhanced beverages convey the attitude of a tough-love coach or personal trainer through in-your-face names on the label and nutrition benefits inside.

A. position the category

B. create a subbranding

C. create a pricing differential

D. differentiate the range

E. introduce a new product class
To differentiate the range of Gatorade offerings from the traditional Gatorade Thirst Quencher, newly enhanced beverages convey the attitude of a tough-love coach or personal trainer through in-your-face names on the label and nutrition benefits inside. For example, Gatorade Fierce is now Bring It and Gatorade X-Factor is now Be Tough. Continuing product development efforts guided the creation of the G Series of products in 2010 and 2011. See Chapter Opener Example: GATORADE: BRINGING SCIENCE TO SWEAT FOR 50 YEARS.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Learning Objective: 11-03 Recognize the importance of branding and alternative branding strategies.
Level of Difficulty: 2 Medium
Topic: Branding Strategy

6. Gatorade offers a range of product offerings. The firm uses one name for all its products in a product class. Gatorade is using a __________ strategy.

A. multibranding

B. family branding

C. co-branding

D. dual branding

E. mixed branding
With multiproduct branding (also known as family branding), a company uses one name for all of its products. See Chapter Opener Example: GATORADE: BRINGING SCIENCE TO SWEAT FOR 50 YEARS.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Learning Objective: 11-03 Recognize the importance of branding and alternative branding strategies.
Level of Difficulty: 3 Hard
Topic: Branding Strategy

7. The launch by Gatorade of Gatorade Endurance Carb Energy Chews is evidence of

A. dynamic development.

B. discontinuous development.

C. product development.

D. symbiotic development.

E. simultaneous development.
Product development at Gatorade continues today as evidenced by the launch of Gatorade Endurance Carb Energy chews. Gatorade’s marketing performance is a direct result of continuous product improvement and masterful brand management. See Chapter Opener Example: GATORADE: BRINGING SCIENCE TO SWEAT FOR 50 YEARS.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Learning Objective: 11-02 Identify ways that marketing executives manage a product’s life cycle.
Level of Difficulty: 2 Medium
Topic: Product Life Cycle

8. Gatorade’s enhanced beverages and the creation of the G Series of products illustrate ___________________________ and masterful brand management in a dynamic marketplace.

A. continuous product development

B. functional product development

C. communications development

D. physical product development

E. tangible product development
The marketing of Gatorade illustrates continuous product development and masterful brand management in a dynamic marketplace. Not surprisingly, Gatorade remains a vibrant multibillion-dollar brand 50 years after its creation. To differentiate the range of Gatorade offerings from the traditional Gatorade Thirst Quencher, newly enhanced beverages convey the attitude of a tough-love coach or personal trainer through in-your-face names on the label and nutrition benefits inside. For example, Gatorade Fierce is now Bring It and Gatorade X-Factor is now Be Tough. Continuing product development efforts guided the creation of the G Series of products in 2010 and 2011. See Chapter Opener Example: GATORADE: BRINGING SCIENCE TO SWEAT FOR 50 YEARS.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Learning Objective: 11-02 Identify ways that marketing executives manage a product’s life cycle.
Level of Difficulty: 2 Medium
Topic: Packaging

9. A concept that describes the stages a product goes through in the marketplace—introduction, growth, maturity, and decline—is referred to as the

A. retail life cycle.

B. product life cycle.

C. marketing mix.

D. product growth cycle.

E. diffusion of product innovation.
Key term definition—product life cycle.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Learning Objective: 11-01 Explain the product life-cycle concept.
Level of Difficulty: 1 Easy
Topic: Product Life Cycle

10. Product life cycle refers to

A. the average life span of a product.

B. a concept that describes the stages a new product goes through from product concept to commercialization.

C. a concept that describes the stages a product goes through in the marketplace—early growth, accelerated development, maturity, and decline.

D. a concept that describes the stages a product goes through in the marketplace—introduction, growth, maturity, and decline.

E. the amount of time it takes a product innovation to completely diffuse in the marketplace.
Key term definition—product life cycle.