A、True or False (2’x10=20)1.The marginal effect of advertising on sales is always same throughout different stages of new product diffusion. F2.Frequent price promotion hurts brand equity. T3.Cooperation between channel members leads to higher profit for both retailer and manufacturer, given there are only two channel members。 T4.New product development involves very high cost and risks of failure. Therefore， companies should not develop new product。 F5.Maximizing consumer's time spent in stores is one of the retailer’s objectives。 T 6.Brand equity is more important for goods than services. F7.Advertising is a more efficient way to increase consumer’s new product awareness level than personal communication. T8.Exclusive distributor only manages one brand in the channel. F9.Bundled products are always priced lower than non-bundled products。 F10. Higher level dependence on manufacturer leads to higher level profit for the dealer. FB。 Multiple Choices (3’x10=30’)1， Medical doctors are using a（n） _____ B _____ communication channel to share the new drug information 。a。 personal b. expertc。 advocated. mass2, Which of the following could explain why the prices of ice cream products made by Haagen—dazs are much higher in China market than in US market？ Ca。 the income level of the target customers in China is higher than income level of the target customers in US。 b。 the transportation across the continent involves very high cost c。 the company uses market-skimming pricing tacticd。 the quality level of Haagen—dazs product in China is much higher than that in US。 3 ， What is the main reason that could explain why companies would perform quantity discount？ Ca, taking care of consumer welfa...
