Kotler-Chapter-10-MCQ Kotler-Chapter-10-MCQ

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Kotler-Chapter-10-MCQ
Marketing Management (National Cheng Kung University)
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Chapter 10 Crafting the Brand Positioning
1) All marketing strategy is built on STP segmentation, targeting, and ________. A) positioning
2) ________ is the act of designing the company's offering and image to occupy a distinctive place in the
minds of the target market. A) Positioning
3) The goal of positioning is ________. A) to locate the brand in the minds of consumers to maximize the
potential benefit to the firm
4) The result of positioning is the successful creation of ________, which provides a cogent reason why
the target market should buy the product. B) a customer-focused value proposition
5) Which of the following best describes a car company's value proposition? C) We sell the safest, most
durable wagon.
6) Which of the following best describes BR Chicken's value proposition? D) We sell tender golden
chicken at a moderate price.
7) The ________ defines which other brands a brand competes with and therefore which brands should
be the focus of competitive analysis. D) competitive frame of reference
8) ________ refers to the products or sets of products with which a brand competes and which function
as close substitutes. C) Category membership
9) ________ are defined as companies that satisfy the same customer need. B) Competitors
10) A(n) ________ is a group of firms offering a product or class of products that are close substitutes for
one another. C) industry
11) Which of the following statements about blue ocean thinking is true? A) It involves designing
creative business ventures to positively affect both a company's cost structure and its value proposition
to consumers.
12) Which of the following terms is most closely associated with the statement: "attributes or benefits
consumers strongly associate with a brand, positively evaluate, and believe that they could not find to
the same extent with a competitive brand"? B) points-of-difference
13) ________ are product associations that are not necessarily unique to the brand but may in fact be
shared with other brands. A) Points-of-parity
14) The three criteria that determine whether a brand association can truly function as a point-of-
difference are ________. D) desirability, deliverability, differentiability
15) Which of the following criteria relates to consumers seeing the brand association as personally
relevant to them? C) desirability
16) Which of the following criteria relates to the company having the internal resources and
commitment to feasibly and profitably create and maintain the brand association in the minds of
consumers? E) deliverability

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17) Which of the following criteria relates to consumers seeing the brand association as distinctive and
superior to relevant competitors? B) differentiability
18) The brand must demonstrate ________, for it to function as a true point-of-difference. A) clear
superiority on an attribute or benefit
19) The two basic forms of points-of-parity are ________ and ________. E) category points-of parity;
competitive points-of-parity
20) ________ are attributes or benefits that consumers view as essential to a legitimate and credible
offering within a certain product or service class. D) Category points-of-parity
21) Philip Morris bought Miller brewing and launched low-calorie beer, at a time when consumers had
the impression that low-calorie beer does not taste as good as normal beer. What does the company
assure by stating that the beer tastes good? C) points-of-parity
22) Philip Morris bought Miller brewing and launched low-calorie beer, at a time when consumers had
the impression that low-calorie beer does not taste as good as normal beer. What did the company try
to build when they conveyed the fact that the beer contained one third less calories and hence it is less
filling? A) points-of-difference
23) Consumers might not consider a hand sanitizer truly a hand sanitizer unless they are gels designed to
apply topically, contain alcohol that kills the germs present on the skin, and developed for use after
washing hands or for those times when soap and water are not available. These service elements are
considered ________. D) category points-of-parity
24) Nivea became the leader in the skin cream class on the "gentle", "protective" and "caring" platform.
The company further moved into classes such as deodorants, shampoos and cosmetics. Attributes like
gentle and caring were of no value unless consumers believed that its deodorant was strong enough, its
shampoo would cleanse and its cosmetics would be colorful enough. This is an example of ________. C)
category points-of-parity
25) ________ are associations designed to overcome perceived weaknesses of the brand. C) Competitive
points-of-parity
26) As a marketing manager, which of the following would be the best purpose for your organization's
competitive points-of-parity? E) to negate competitors' perceived points-of-difference
27) A marketer that wants to anchor a point-of-difference for Dove soap on brand benefits might
emphasize which of the following? C) Dove soap helps users have softer skin
28) Subway restaurants are positioned as offering healthy, great-tasting sandwiches. ________ allows
the brand to create a point-of-parity (POP) on taste and a point-of-difference (POD) on health with
respect to quick-serve restaurants such as McDonald's and Burger King and, at the same time, a POP on
health and a POD on taste with respect to health food restaurants and cafés. D) Straddle positioning
29) BMW positioned itself as the only automobile that offered both luxury and performance. At that
time, consumers saw U.S. luxury cars as lacking performance. It was able to achieve a point-of-difference
on performance and a point-of-parity on luxury with respect to U.S. luxury cars like Cadillac. This is an
example of ________. A) straddle positioning

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30) Marketers typically focus on ________ in choosing the points-of-parity and points-of-difference that
make up their brand positioning. C) brand benefits
31) ________ are visual representations of consumer perceptions and preferences. C) Perceptual maps
32) Straddle positions ________. B) allow brands to expand their market coverage and potential
customer base
33) Which of the following statements about brand mantras is true? D) They can provide guidance about
what ad campaigns to run and where and how to sell the brand.
34) American Express'- "Worldclass Service, Personal Recognition," Mary Kay's - "Enriching women's
lives," Hallmark's- "Caring Shared," and Starbucks'-"Rewarding Everyday Moments" are examples of
________. A) brand mantras
35) ________ are short, three- to five-word phrases that capture the irrefutable essence or spirit of the
brand positioning and ensure that the company's own employees understand what the brand
represents. A) Brand mantras
36) A ________ is a translation of the brand mantra that attempts to creatively engage consumers and
others external to the company. D) brand slogan
37) BMW's "The ultimate driving machine," American Express' "Don't leave home without it," New York
Times' "All the news that's fit to print," and AT&T's "Reach out and touch someone" are all examples of
________. A) brand slogan
38) A brand mantra should be ________. C) communicative, simple, and inspirational
39) Brand mantras typically are designed to capture the brand's ________, that is, what is unique about
the brand. D) points-of-difference
40) Points-of-parity are important while designing brand mantras for brands facing ________. A) rapid
growth
41) For brands in more stable categories where extensions into more distinct categories are less likely to
occur, the brand mantra may focus more exclusively on ________. A) points-of-difference
42) Tums claims to have the most acid-reducing components of any antacid. In what way is the brand's
category membership being conveyed? C) announcing category benefits
43) The typical approach to positioning is to inform consumers of a brand's category membership before
stating its ________, B) point-of-difference
44) In which of the following examples is a company communicating category membership using a
product descriptor? B) Barry's Oats, when you want nutrition and flavor.
45) Industrial tools claiming to have durability, and antacids announcing their efficacy convey a brand's
category membership by ________. C) announcing category benefits
46) A well-known car manufacturing company introduces a new hatchback model by describing its
distinctive features and then stressing the speed and safety qualities of the car. Which of the following is

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the company using to convey its membership in the hatchback segment? A) announcing category
benefits
47) Which of the following ways to conveying a brand's category membership relates to well-known,
noteworthy brands in a category helping a brand specify its category membership? A) comparing to
exemplars
48) SJC is a new retailer that targets the youth market. SJC needs to make an impression using
advertising, and decides to use funny or irreverent ads to get its point across. Each ad features one of
SJC's competitors and conveys an advantage SJC has over that competitor. Which of the following is the
company using to convey its membership in the retail segment? B) comparing to exemplars
49) When Tommy Hilfiger was an unknown brand, advertising announced his membership as a great
U.S. designer by associating him with Geoffrey Beene, Stanley Blacker, Calvin Klein, and Perry Ellis, who
were recognized members of that category. Tommy Hilfiger conveyed the brand's category membership
by ________. C) comparing to exemplars
50) Ford Motor Co. invested more than $1 billion on a radical new 2004 model called the X-Trainer,
which combined the attributes of an SUV, a minivan, and a station wagon. To communicate its unique
position—and to avoid association with its Explorer and Country Squire models—the vehicle, eventually
called Freestyle, was designated a "sports wagon". According to the given scenario, Ford Motor Co.
conveyed their brand's category membership by ________. C) relying on the product descriptor
51) One common difficulty in creating a strong, competitive brand positioning is that many of the
attributes or benefits that make up the points-of-parity and points-of-difference are ________. A)
negatively correlated
52) ________ is a company's ability to perform in one or more ways that competitors cannot or will not
match. C) Competitive advantage
53) A ________ is one that a company can use as a springboard to new advantages. B) leverageable
advantage
54) Which of the following types of differentiation relates to companies having better-trained personnel
who provide superior customer service? C) employee differentiation
55) Singapore Airlines is well regarded in large part because of the excellence of its flight attendants.
This is an example of ________ differentiation. D) employee
56) Which of the following types of differentiation refers to companies effectively designing their
distribution medium's coverage, expertise, and performance to make buying the product easier and
more enjoyable and rewarding? B) channel differentiation
57) Dayton, Ohio--based Iams found success selling premium pet food through regional veterinarians,
breeders, and pet stores. This is an example of ________ differentiation. E) channel
58) Which of the following is an example of channel differentiation? D) RTZ shifted its products from
supermarket aisles to exclusive stores as it realized that customers were willing to pay more in stores.

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59) Which of the following is an example of image differentiation? B) The Swan Hotels use a distinctive
signature fragrance in all outlets so that customers can associate the fragrance with the hotel.
60) Which of the following is an example of services differentiation? C) JEK's sophisticated customer
database allows the company to handle queries and product returns much faster than competitors.
61) A radio ad by the dairy farmers of Washington State stated that the milk produced in the state was
of higher quality because of the way the farmers treat their cows. They said that the difference comes
from how comfortable they make their cows. Among others, this differentiation could certainly appeal
to animal lovers and those moving toward organic products. This is an example of ________. E) image
differentiation
62) A company which can differentiate itself by designing a better and faster delivery system that
provides more effective and efficient solutions to consumers is most likely using ________
differentiation. A) services
63) Suppliers who are dependable in their on-time delivery, order completeness, and order-cycle time
are most likely to be differentiated based on ________. D) reliability
64) Suppliers who are better at handling emergencies, product recalls, and inquiries are most likely to be
differentiated based on their ________. C) resilience
65) A supplier creates better information systems, and introduces bar coding, mixed pallets, and other
methods of helping the consumer. The supplier is most likely to be differentiated on its ________. A)
innovativeness
66) Which of the following traits of a brand's ability to become a lovemark relates to drawing together
stories, metaphors, dreams, and symbols? B) mystery
67) Which of the following traits of a brand's ability to become a lovemark keeps the five senses of sight,
hearing, smell, touch, and taste on constant alert for new textures, intriguing scents and tastes, music,
and other such stimuli? A) sensuality
68) Which of the following traits of a brand's ability to become a lovemark implies empathy,
commitment, and passion? E) intimacy
69) Randall Ringer and Michael Thibodeau see ________ as based on deep metaphors that connect to
people's memories, associations, and stories. B) narrative branding
70) Which element of a brand story framework do Randall Ringer and Michael Thibodeau relate to the
time, place, and context of the brand story? D) setting
way the narrative logic unfolds over time, including actions, desired experiences, defining events, and
the moment of epiphany? E) narrative arc
authenticating voice, metaphors, symbols, themes, and leitmotifs? C) language
73) Which of the following statements about the branding guidelines for a small business is true? A) A
small business must creatively conduct low-cost marketing research.

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74) All marketing strategy is built on segmentation, targeting, and positioning.
TRUE
Page Ref: 275
Objective: 1
Difficulty: Easy
75) Positioning is the act of designing the company's offering and image to occupy a distinctive place in
the minds of the target market.
TRUE
Page Ref: 276
Objective: 1
AACSB: Analytic skills
Difficulty: Easy
76) The result of positioning is the successful creation of an employee-focused value proposition.
FALSE
Page Ref: 276
Objective: 1
Difficulty: Easy
77) Positioning requires that marketers define and communicate only the differences between their
brand and its competitors.
FALSE
Page Ref: 276
Objective: 1
Difficulty: Easy
78) The competitive frame of reference defines which other brands a brand competes with.
TRUE

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Page Ref: 276
Objective: 1
Difficulty: Easy
79) Category membership is seen as the products which function as close substitutes of a brand.
TRUE
Page Ref: 277
Objective: 2
Difficulty: Easy
80) A company is more likely to be hurt by current competitors than by emerging competitors or new
technologies.
FALSE
Page Ref: 277
Objective: 2
Difficulty: Easy
81) The industry concept of competition reveals a broader set of actual and potential competitors than
competition defined in just the market concept.
FALSE
Page Ref: 278
Objective: 2
Difficulty: Easy
82) Using the industry approach, competitors are defined as companies that satisfy the same customer
need.
FALSE
Page Ref: 278
Objective: 2

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Difficulty: Easy
83) To analyze its competitors, a company needs to gather information about both the real and the
perceived strengths and weaknesses of each competitor.
TRUE
Page Ref: 279
Objective: 2
Difficulty: Easy
84) Associations that make up points-of-difference are based exclusively on product features.
FALSE
Page Ref: 280
Objective: 3
AACSB: Reflective thinking
Difficulty: Easy
85) Points-of-parity are attributes or benefits consumers strongly associate with a brand and believe
that they could not find to the same extent with a competitive brand.
FALSE
Page Ref: 280
Objective: 3
Difficulty: Easy
86) Points-of-parity may be shared among two or more brands.
TRUE
Page Ref: 280
Objective: 3

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Difficulty: Easy
87) Category points-of-parity are unique to a brand.
FALSE
Page Ref: 280
Objective: 3
Difficulty: Easy
88) Category points-of-parity may change over time due to technological advances, legal developments,
or consumer trends.
TRUE
Page Ref: 281
Objective: 3
Difficulty: Easy
89) Category points-of-parity are associations designed to overcome perceived weaknesses of the brand.
FALSE
Page Ref: 281
Objective: 3
Difficulty: Easy
90) A competitive point-of-parity negates competitors' perceived points-of-difference.
TRUE
Page Ref: 281
Objective: 3
Difficulty: Easy

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91) Trying to be all things to all people leads to highest-common-denominator positioning, which is
typically effective.
FALSE
Page Ref: 282
Objective: 3
Difficulty: Easy
92) Straddle positioning refers to a brand using different positioning with different categories of
competitors.
FALSE
Page Ref: 283
Objective: 3
Difficulty: Easy
93) Occasionally, a company will be able to straddle two frames of reference with one set of points-of-
difference and points-of-parity.
TRUE
Page Ref: 283
Objective: 3
Difficulty: Easy
94) Perceptual maps provide quantitative portrayals of market situations and the way consumers view
different products, services, and brands along various dimensions.
TRUE
Page Ref: 283
Objective: 3
Difficulty: Easy
95) The purpose of brand mantras is to ensure that employees and external marketing partners
understand what the brand is to represent to the customers.

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TRUE
Page Ref: 284
Objective: 3
Difficulty: Easy
96) Brand mantras must communicate both what a brand is and what it is not.
TRUE
Page Ref: 285
Objective: 3
Difficulty: Easy
97) Brand mantras are typically designed to capture the brand's points-of-parity, that is, what is unique
about the brand.
FALSE
Page Ref: 286
Objective: 3
Difficulty: Easy
98) Brands are never affiliated with categories in which they do not hold membership.
FALSE
Page Ref: 287
Objective: 3
Difficulty: Easy
99) There are situations in which consumers know a brand's category membership but may not be
convinced the brand is a valid member of the category.
FALSE
Page Ref: 287
Objective: 3

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Difficulty: Easy
100) The typical approach to positioning is to inform consumers of a brand's membership before stating
its point-of-difference.
TRUE
Page Ref: 288
Objective: 3
Difficulty: Easy
101) The product descriptor that follows the brand name is often a concise means of conveying category
origin.
TRUE
Page Ref: 288
Objective: 3
Difficulty: Easy
102) If Barry compares his organization's products to those of leaders in the field, then he is conveying
category membership by "comparing to exemplars".
TRUE
Page Ref: 288
Objective: 3
Difficulty: Easy
103) A good illustration of negatively correlated attributes or benefits is good taste versus bad taste.
FALSE
Page Ref: 288
Objective: 3
Difficulty: Easy

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104) A leverageable advantage is one that a company can use as a springboard to new advantages.
TRUE
Page Ref: 289
Objective: 3
Difficulty: Easy
105) Competitive advantage is a company's ability to perform in one or more ways that competitors
cannot or will not match.
TRUE
Page Ref: 289
Objective: 3
Difficulty: Easy
106) The means of differentiation that are often most compelling to consumers relate to aspects of the
product and service.
TRUE
Page Ref: 290
Objective: 3
Difficulty: Easy
107) Companies cannot achieve differentiation by differentiating their channels, as this is not the
purpose of a distribution channel.
FALSE
Page Ref: 290
Objective: 3
Difficulty: Easy

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108) A good positioning should contain points-of-difference and points-of-parity that have rational but
not emotional components.
FALSE
Page Ref: 290
Objective: 3
Difficulty: Easy
109) Brand storytelling is a less-structured approach to brand positioning.
TRUE
Page Ref: 291-292
Objective: 3
Difficulty: Easy
110) Narrative branding is based on deep metaphors that connect to people's memories, associations,
and stories.
TRUE
Page Ref: 292
Objective: 3
Difficulty: Easy
111) Cultural branding is essential for small firms, but ineffective for large companies.
FALSE
Page Ref: 293
Objective: 4
Difficulty: Easy
112) Small businesses must focus on building one or two strong brands based on one or two key
associations.
TRUE
Page Ref: 293

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Objective: 4
Difficulty: Easy
113) While creating a loyal brand community is useful for large companies, it is not cost-effective for
small firms.
FALSE
Page Ref: 293
Objective: 4
Difficulty: Easy

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114) What are the requirements for deciding on a positioning strategy?
Positioning requires that marketers define and communicate similarities and differences between their
brand and its competitors. Specifically, deciding on a positioning requires: (1) determining a frame of
reference by identifying the target market and relevant competition, (2) identifying the optimal points-
of-parity and points-of-difference brand associations given that frame of reference, and (3) creating a
brand mantra to summarize the positioning and essence of the brand.
115) With respect to positioning, explain points-of-parity and points-of-difference.
Points-of-difference (PODs) are attributes or benefits consumers strongly associate with a brand,
positively evaluate, and believe that they could not find to the same extent with a competitive brand.
Points-of-parity (POPs), on the other hand, are associations that are not necessarily unique to the brand
but may in fact be shared with other brands.
116) With the help of an example, explain straddle positioning.
Occasionally, a company will be able to straddle two frames of reference with one set of points-of-
difference and points-of-parity. In these cases, the points-of-difference for one category become points-
of-parity for the other and vice versa. Subway restaurants are positioned as offering healthy, good-
tasting sandwiches. This positioning allows the brand to create a POP on taste and a POD on health with
respect to quick-serve restaurants such as McDonald's and Burger King and, at the same time, a POP on
health and a POD on taste with respect to health food restaurants and cafés. Straddle positions allow
brands to expand their market coverage and potential customer base.
117) Describe three methods by which a brand can communicate category membership.
There are three main ways to convey a brand's category membership:
1. Announcing category benefits. To reassure consumers that a brand will deliver on the fundamental
reason for using a category, marketers frequently use benefits to announce category membership.
2. Comparing to exemplars. Well-known, noteworthy brands in a category can also help a
brand specify its category membership.
3. Relying on the product descriptor. The product descriptor that follows the brand name is often a
concise means of conveying category origin.
118) Briefly describe four brand differentiation strategies.
In addition to product and service differentiation, the four differentiation strategies are: (1) employee
differentiationcompanies can gain a strong competitive advantage through having better-trained
people; (2) channel differentiationcompanies can achieve competitive advantage through the way they
design their distribution channels' coverage, expertise, and performance; (3) image
differentiationcompanies can craft powerful, compelling images that appeal to consumers' social and
psychological needs; and (4) services differentiationa service company can differentiate itself by
designing a better and faster delivery system that provides more effective and efficient solutions to
consumers.

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119) Explain three variables a firm should consider when analyzing potential threats posed by
competitors.
In general, the firm should monitor three variables when analyzing potential threats posed by
competitors:
1. Share of market—The competitors' share of the target market.
2. Share of mind—The percentage of customers who named the competitor in responding to the
statement, "Name the first company that comes to mind in this industry."
3. Share of heart—The percentage of customers who named the competitor in responding to the
statement, "Name the company from which you would prefer to buy the product."
120) Name and briefly explain three less-structured alternatives to competitive brand positioning.
Three alternatives to competitive branding are as follows:
Brand narratives and storytelling: Rather than outlining specific attributes or benefits, some marketing
experts describe positioning a brand as telling a narrative or story.
Brand journalism: Just as editors and writers for newspapers and magazines tell many facets of a story
to capture the interests of diverse groups of people, marketers should communicate different messages
to different market segments, as long as they at least broadly fit within the basic broad image of the
brand.
Cultural branding: For companies to build iconic, leadership brands, they must assemble cultural
knowledge, strategize according to cultural branding principles, and hire and train cultural experts.
121) What are the five elements of narrative branding as described by Randall Ringer and Michael
Thibodeau?
Randall Ringer and Michael Thibodeau see narrative branding as based on deep metaphors that connect
to people's memories, associations, and stories. They identify five elements of narrative branding: (1)
the brand story in terms of words and metaphors, (2) the consumer journey in terms of how consumers
engage with the brand over time and touch points where they come into contact with it, (3) the visual
language or expression for the brand, (4) the manner in which the narrative is expressed experientially
in terms of how the brand engages the senses, and (5) the role/relationship the brand plays in the lives
of consumers.
122) Randall Ringer and Michael Thibodeau see narrative branding as based on deep metaphors that
connect to people's memories, associations, and stories. Briefly describe their framework for a brand
story.
Based on literary convention and brand experience, Randall Ringer and Michael Thibodeau offer the
following framework for a brand story:
• Setting. The time, place, and context
• Cast. The brand as a character, including its role in the life of the audience, its relationships and
responsibilities, and its history or creation myth

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• Narrative arc. The way the narrative logic unfolds over time, including actions, desired experiences,
defining events, and the moment of epiphany
• Language. The authenticating voice, metaphors, symbols, themes, and leitmotifs
123) How does a loyal brand community support the positioning and branding of a small business?
Provide an example to support your explanation.
Student answers may vary.
Creating a vibrant brand community among current and prospective customers can be a cost-effective
way to reinforce loyalty and help spread the word to new prospects. Web browser Mozilla Firefox is able
to compete with Microsoft's Internet Explorer in part because of its dedicated volunteer group of 10,000
programmers who work on its open source coding. Twelve fans of the brand felt so strongly about it
they used two-by-fours and rope to hollow out a 30,000-square-foot impression of the brand's logo in
an oat field outside Salem, Oregon!
124) With the help of an example, explain why a company's competition may not be from companies in
the same category.
Category membership includes the products or sets of products with which a brand competes and which
function as close substitutes.
After having spent billions of dollars building their networks, cell phone carriers AT&T, Verizon Wireless,
and Sprint face the threat of new competition emerging as a result of a number of changes in the
marketplace: Skype and the growth of Wi-Fi hotspots, municipal Wi-Fi networks built by cities, and dual
mode phones that can easily switch networks.
125) Belling is a chain of coffee shops. List possible competitors first from an industry point of view and
then from the market point of view.
From an industry point of view, Belling's competitors will be other coffee shops, coffee machines and
outlets that sell coffee in addition to other foods. From a market point of view, Belling's competitors
could be anything from restaurants to supermarkets selling ready-to-drink coffee.
126) There are three key consumer criteria that determine whether a brand association can truly
function as a point-of-difference. When the Westin Stamford hotel in Singapore advertised that it was
the world's tallest hotel, it attempted to create a point-of-difference (POD). Explain why the hotel may
not have been successful in its attempt to create its POD.
Consumers must see the brand association as personally relevant to them. Staying in the tallest hotel
might not be a necessary need for most tourists, there might be other factors that are more important.
The hotel was not successful in its attempt to create its POD because of the desirability criteria
associated with PODs.

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127) Belling is a chain of coffee shops. Give an example of a category point-of-parity and a competitive
point-of-parity for the company.
A category point-of-parity for Belling could be its freshly-brewed coffee and friendly atmosphere.
A competitive point-of-parity could be its fast customer service times.
128) Belling is a chain of coffee shops. Give an example of a point-of-parity and a point-of-difference for
the company.
Points-of-parity for Belling could be its freshly-brewed coffee or friendly atmosphere.
Points-of-difference could be its unusual interior design or laid-back attitude.
129) Give an example of the use of straddle positioning.
Subway restaurants are positioned as offering healthy, good-tasting sandwiches. This positioning allows
the brand to create a POP on taste and a POD on health with respect to quick-serve restaurants such as
McDonald's and Burger King and, at the same time, a POP on health and a POD on taste with respect to
health food restaurants and cafés.
130) Define a brand mantra and provide an example of a brand mantra.
A brand mantra is an articulation of the heart and soul of the brand and is closely related to other
branding concepts like "brand essence" and "core brand promise." Brand mantras are short, three- to
five-word phrases that capture the irrefutable essence or spirit of the brand positioning. American
Express's "World Class Service, Personal Recognition," is an example of a brand mantra.
131) Give an example of how a brand can be affiliated with a category in which it does not hold
membership.
DiGiorno's frozen pizza has adopted a positioning strategy that identifies with a different category from
its own—instead of putting it in the frozen pizza category, the marketers have positioned it in the
delivered pizza category with ads that claim, "It's Not Delivery, It's DiGiorno!"
132) Belling begins most advertising messages by announcing category benefits and then moving on to
its specific positioning. Offer one reason why Belling may adopt this strategy.
To reassure consumers that a brand will deliver on the fundamental reason for using a category,
marketers such as Belling frequently use benefits to announce category membership.

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133) How can coffee shop chain Belling convey its category membership? List the methods it can use to
achieve this.
The three main ways to convey a brand's category membership are: announcing category
benefits; comparing to exemplars; and relying on the product descriptor.
134) As a company seeks to establish a category membership designation, how does the company
approach points-of-difference? What is done first?
The typical approach to positioning is to inform consumers of a brand's membership before stating its
point-of-difference. Presumably, consumers need to know what a product is and what function it serves
before deciding whether it dominates the brands against which it competes.
135) Provide three examples of negatively correlated attributes and benefits.
Some examples of negatively correlated attributes and benefits are: low price versus high quality, taste
versus low calories, strong versus refined, powerful versus safe, and ubiquitous versus exclusive.
136) Define leverageable advantage with an example.
A leverageable advantage is one that a company can use as a springboard to new advantages, much as
Microsoft has leveraged its operating system to Microsoft Office and then to networking applications. In
general, a company that hopes to endure must be in the business of continuously inventing new
advantages.
137) How does a company differentiate its market offerings using employee differentiation? Provide an
example of a company using employee differentiation.
A company differentiating its market offerings using employee differentiation, does so by having better-
trained personnel who provide superior customer service. Singapore Airlines is well regarded in large
part because of its flight attendants.
138) Companies can achieve competitive advantage through the way they design their distribution
channel. What three areas are considered in this design process?
Considerations to achieve competitive advantage in the distribution channel are in the areas of
coverage, expertise, and performance.
139) Belling wants to analyze the threats posed by its competitors. Which three variables must it
monitor to achieve this?
To analyze the threats posed by its competitors, Belling must monitor the competitors' share of the
market, share of mind and share of heart.
140) Sally's is a boutique bakery that specializes in cupcakes. How can Sally's create channel
differentiation to stand apart from its competitors?

lOMoARcPSD|1033769
Sally's can more effectively and efficiently design its distribution channels' coverage, expertise, and
performance to make buying the product easier and more enjoyable and rewarding. It can set up an
online store or undertake home deliveries.
141) Sally's is a boutique bakery that specializes in cupcakes. How can Sally's create image
differentiation to stand apart from its competitors?
Sally's can use innovative and distinctive packaging for its products, or use interior design to give the
store a distinctive look.
142) Sally's is a boutique bakery that specializes in cupcakes. Give one method by which Sally's can
conduct low-cost market research.
There are a variety of low-cost marketing research methods that help small businesses connect with
customers and study competitors. One way is to set up course projects at local colleges and universities
to access the expertise of both students and professors.
143) Sally's is a boutique bakery that specializes in cupcakes. Give some methods by which Sally's can
position itself without spending a lot on promotions.
Because small businesses often must rely on word of mouth to establish their positioning, public
relations, social networking, and low-cost promotions and sponsorship can be inexpensive alternatives
for Sally's. Creating a vibrant brand community among current and prospective customers can also be a
cost-effective way to reinforce loyalty and help spread the word to new prospects.

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Chapter 10 Crafting the Brand Positioning

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38) A brand mantra should be ________. C) communicative, simple, and inspirational

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74) All marketing strategy is built on segmentation, targeting, and positioning.

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AACSB: Analytic skills

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AACSB: Reflective thinking

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86) Points-of-parity may be shared among two or more brands.

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87) Category points-of-parity are unique to a brand.

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90) A competitive point-of-parity negates competitors' perceived points-of-difference.

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