Download Review 2

Exam 2 Review
There are 36 multiple choice questions and one short answer on the exam. They consist
mostly of definitions and applications. Below, you can find the general topics covered on the
exam. They are drawn from your book, slides, study guides, etc. The questions will cover
detailed material within these categories. Also, note that there are pricing problems on the
test.
Definitions of key terms drawn from every chapter
Actual, core, augmented product
Classifying consumer products (e.g., durable/nondurable; convenience, shopping, specialty)
Classifying business products
What are New Products
Steps in New Product Development (and contents of each step)
Product line strategies (e.g., line stretch)
Product mix
Product life cycle (e.g., stages and contents)
Branding
Opportunity costs
Steps in price planning
Estimating Demand
Price elasticity of demand
Demand based pricing
Types of costs
Break-even analysis
Marginal analysis
Cost-plus pricing
New Product pricing strategies (e.g., penetration)
Discounting for channel members
Psychological issues in pricing (e.g., odd-even, price lining)
Legal and ethical considerations in pricing
Deceptive pricing
Unfair pricing tactics
Price fixing (including the different types)
Business to business marketing and why it is different than consumer marketing
Demand characteristics in B2B (derived, inelastic, fluctuating, joint, etc.)
B2B classifications (producers, resellers, governments, non-for-profit)
The buying situation (straight rebuy, modified, new task)
The buying center and the roles in the center
Security issues in the B2B environment
Sample question: Kitchen dishcloths are often difficult to rinse clean and typically dry slowly.
3M has developed a disposable ScotchBrite Microfiber Kitchen Cloth that rinses easily and dries
quickly. Because this is a brand new product to the market, it can be said to be in the _____ stage
of its product life cycle.
a. maturity
b. introduction
c. expansion
d. growth
e. extension
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