Chug Enterprises is planning to create a new line of products and enter into the sports drink market. They plan to advertise the first product to teenagers as being the best-tasting sports drink in the market. The second product will be advertised to adults as being the lowest calorie sports drink one can buy. The third product will be advertised to senior citizens as containing calcium, a mineral needed to maintain a healthy bone structure. Each product will have separate, distinctive packaging. Chug Enterprises created the three products in a way that it appeals to separate target markets. This was done to prevent its products from competing with one another for market share. This shows that Chug Enterprises understands the importance of:
a. internal positioning.
b. external positioning.
c. inelasticity of demand.
d. selective demand stimulation.
Question 2
Customers may be disappointed with a service for all of the following reasons EXCEPT
a. The customers may not have the ability to use the service correctly.
b. Customers may have difficulty getting along with other customers.
c. Customers enter the service establishment expecting a different service than the organization delivers.
d. All of these are reasons why customers may be disappointed with a service.
e. None of these are reasons why customers may be disappointed with a service.
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