Question 31. Offering products at “everyday” low prices in an attempt to cou

31. Offering products at “everyday” low prices in an attempt to counter the common consumer practice of buying whatever brand happens to be on special is an example of competing on the basis of _____.

a. price

b. value

c. volume

d. customer perceptions

32. The _____ approach to quality incorporates a firm’s goal of balancing product characteristics (the customer side of quality) with internal efficiencies (the operations side).

a. product-based

b. user-based

c. value-based

d. manufacturing-based

33. _____ are targets and tolerances determined by designers of products and services.

a. Trials

b. Process metrics

c. Controls

d. Specifications

34. When a part dimension is specified as “0.236 ± 0.003 cm”, it would mean that the target, or ideal value, is 0.236 centimeters, and that the allowable variation is 0.003 centimeters from the target. This means that the tolerance is:

a. -0.0003 cm.

b. 0.006 cm.

c. 0.003 cm.

d. -0.0006 cm.

35. The _____ is completed when the product has been moved from the manufacturing plant, perhaps through wholesale and retail outlets, to the customer.

a. production-distribution cycle

b. product life cycle

c. quality-circle

d. total quality process

36. The person who buys an automobile for personal use or the guest who registers at a hotel is considered an ultimate purchaser and is more precisely referred to as a (n) _____.

a. beneficiary

b. first contact

c. consumer

d. prosumer

37. S. C. Wheelwright identified six characteristics of a strong competitive advantage. Which of the following is NOT one of them?

a. It is driven by customer wants and needs.

b. It makes a significant contribution to the success of the business.

c. It is durable and lasting, and difficult for competitors to copy.

d. It is based on principles of Six Sigma and continuous improvement.

38. With the increasing focus on quality, in today’s global marketplace, high _____ is considered entry into the game, rather than a source of competitive advantage.

a. profits

b. performance

c. tolerance

d. conformance

39. A consumer purchases a generic product at a cost of $5.00 instead of the branded product that sells for $7.00. The consumer feels that there is no difference in quality between the generic and brand name products. This scenario illustrates which of the following definitions of quality?

a. Manufacturing-based

b. Value-based

c. Product-based

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