Product Decisions MCQs 2026

Product decision case 25: a Pakistani detergent brand plans decline with harvest decision. The primary product strategy should focus on

1. Acutting costs, harvesting cash or discontinuing unprofitable SKUs✓
2. Bignoring customer feedback and copying failed formulas✓
3. Cadding unrelated products without brand fit analysis✓
4. Deliminating all quality control to cut costs✓

Product decision case 22: a Pakistani dairy product brand plans maturity with flanker brand. The primary product strategy should focus on

1. Aignoring customer feedback and copying failed formulas✓
2. Badding unrelated products without brand fit analysis✓
3. Cdifferentiating through features, service or segment-specific variants✓
4. Deliminating all quality control to cut costs✓

Product decision case 15: a Pakistani clothing line brand plans growth with line extension. The primary product strategy should focus on

1. Aexpanding distribution and defending share with line extensions✓
2. Bignoring customer feedback and copying failed formulas✓
3. Cadding unrelated products without brand fit analysis✓
4. Deliminating all quality control to cut costs✓

Product mix consistency refers to

1. Aidentical pricing of all SKUs✓
2. Bsame factory color paint✓
3. Chow closely related the various product lines are✓
4. Dequal employee count per line✓

Test marketing allows

1. Askipping all consumer feedback✓
2. Bpermanent product withdrawal always✓
3. Czero market research✓
4. Dtrial launch in limited markets before full rollout✓

New product development starts with idea generation and ends with

1. Arandom factory shutdown✓
2. Beliminating all testing✓
3. Ccommercialization✓
4. Dignoring customers✓

Product labeling must typically provide

1. Aonly decorative colors✓
2. Bonly CEO photo✓
3. Crequired information such as ingredients, usage and safety warnings✓
4. Donly competitor prices✓

Packaging functions include protection, convenience and

1. Aonly increasing factory rent✓
2. Bonly reducing product quality✓
3. Conly eliminating labels✓
4. Dpromotion and communication✓

A service is characterized by intangibility, inseparability, variability and

1. Adurability always✓
2. Bstandardization always✓
3. Cperishability✓
4. Dinventory storage in warehouses✓

Cannibalization occurs when

1. Acompetitors lose share only✓
2. Bsuppliers raise prices✓
3. Cwarehouses expand✓
4. Da new product eats sales of an existing company product✓

Brand extension uses an established brand name to enter

1. Athe same SKU only✓
2. Bbankruptcy court✓
3. Cemployee payroll✓
4. Da new product category✓

Line stretching adds products

1. Aonly identical duplicates✓
2. Bonly discontinued items✓
3. Cabove or below the current line range✓
4. Donly raw materials✓

Product line width refers to

1. Avariants within one line✓
2. Bnumber of different product lines the company carries✓
3. Cfactory floor area✓
4. Dnumber of salespeople✓

Product line depth refers to

1. Anumber of variants within a product line✓
2. Bnumber of different product lines✓
3. Cnumber of factories only✓
4. Dnumber of sales territories only✓

At maturity, firms often compete on

1. Aintroducing unknown products only✓
2. Bignoring all competitors✓
3. Cprice, differentiation and market segmentation✓
4. Dzero advertising✓

During the growth stage, competitors

1. Adisappear completely✓
2. Bbecome illegal✓
3. Cmerge automatically✓
4. Denter and market share battles intensify✓

In the introduction stage, marketing typically emphasizes

1. Aharvesting and cost cutting only✓
2. Bawareness building and trial generation✓
3. Celiminating all promotion✓
4. Dprice skimming without communication✓

The product life cycle stages are

1. Aonly production and shipping✓
2. Bonly hiring and firing✓
3. Cintroduction, growth, maturity and decline✓
4. Donly audit and tax✓

A product in marketing includes

1. Acore benefit, actual product and augmented product levels✓
2. Bonly the cardboard box✓
3. Conly the factory building✓
4. Donly the sales invoice✓

Harvest strategy in decline stage means

1. Aheavy new product R&D✓
2. Bmassive advertising increase✓
3. Copening new factories✓
4. Dreducing investment and maximizing short-term cash flow✓

A trademark legally protects

1. Aall generic product names✓
2. Bbrand name, symbol or design identifying a product source✓
3. Cevery common dictionary word✓
4. Dcompetitor logos automatically✓

Product differentiation creates

1. Aidentical commodities only✓
2. Bperceived differences that make the offer distinct✓
3. Cmandatory sameness✓
4. Dzero brand identity✓

Quality level in product decisions means

1. Aonly the lowest possible cost✓
2. Bonly packaging color✓
3. Conly shelf height✓
4. Dthe degree to which a product meets customer expectations✓

Product decision case 6: a Pakistani dairy product brand plans introduction with trial samples. The primary product strategy should focus on

1. Aignoring customer feedback and copying failed formulas✓
2. Badding unrelated products without brand fit analysis✓
3. Celiminating all quality control to cut costs✓
4. Dbuilding awareness and securing trial among early adopters✓

Product decision case 36: a Pakistani shampoo brand plans repositioning with new packaging. The primary product strategy should focus on

1. Aaligning packaging and product attributes with new target perception✓
2. Bignoring customer feedback and copying failed formulas✓
3. Cadding unrelated products without brand fit analysis✓
4. Deliminating all quality control to cut costs✓

Product decision case 43: a Pakistani mobile phone brand plans quality improvement upgrade. The primary product strategy should focus on

1. Araising performance to justify price and reduce returns✓
2. Bignoring customer feedback and copying failed formulas✓
3. Cadding unrelated products without brand fit analysis✓
4. Deliminating all quality control to cut costs✓

Product decision case 50: a Pakistani snack food brand plans brand extension into adjacent category. The primary product strategy should focus on

1. Aleveraging brand trust while ensuring fit with the new category✓
2. Bignoring customer feedback and copying failed formulas✓
3. Cadding unrelated products without brand fit analysis✓
4. Deliminating all quality control to cut costs✓

Product decision case 58: a Pakistani snack food brand plans test market in one city. The primary product strategy should focus on

1. Alearning from limited launch before national investment in production and promotion✓
2. Bignoring customer feedback and copying failed formulas✓
3. Cadding unrelated products without brand fit analysis✓
4. Deliminating all quality control to cut costs✓