Test bank consumer behavior 10e schiffman kanuk chapter 06

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

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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

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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
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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

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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

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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
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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

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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

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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

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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

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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

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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

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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

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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

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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
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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

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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

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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

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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

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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

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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

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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

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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

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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

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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

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