Guidelines to Prepare a Workbook

1. The author has to read the respective Unit in the SLM (Self Learning Material) before writing the questions.

2. The Unit Title in Workbook should be exactly same as the Title given in SLM. 3. It is best practice to have 10 questions per Unit. The author can have the Title Unit#: <Unit

Name> followed by 10 questions. 4. Among the questions, 40% should be concept based and 60% should be case study/situation

based. More focus can be given for application-oriented questions.5. Each question can be explained in a maximum of 4 to 5 sentences.6. All the questions should be MCQs (Multiple Choice Questions). 7. Each question should have 5 answer choices such as a., b., c., d., e. Alternatives should be

given in a manner to make the student to think i.e. alternatives should compete each other.8. Questions Numbers continue through units from 1, 2,….10, 11, 12….21, 22,

….31,32…..99,100…… in sequence. 9. The author can also group some questions such as “[For Questions 2-5]” mentioning at the

beginning of Question 2. The case can be explained in Question 2 and further questions can be asked in Question 3, 4, 5.

10. The author can provide Data Tables, Graphs and Figures to enrich questions and frame questions based on the exhibits.

11. The answers to all the questions in the workbook should be in separate chapter known as “Multiple Choice–Answers and Explanations”. They should be numbered as 1, 2, 3, .100……

12. Each answer should mention the right choice a, b, c, d, e; followed by right answer and the answer may be given in 2 or 3 sentences of descriptive explanation of the answer.

13. The author can read industry based articles relevant to the topic from sources such as Bain & Co, Booz, McKinsey, KPMG, Deloitte, HBR, Accenture or any other reputed source and relate questions with concepts.

14. In case of conceptual questions, introduce the industry, company and the kind of business they do and then put the question. The author may also introduce/create the business context or situation in an organization before asking the conceptual question. The author may also create some organizational roles in the context and relate with concepts in SLMs.

15. The author can also give the incidents/cases from his own industry/organizational experience. The questions should have a latest context.

16. All the concepts given in the respective SLM Unit should be covered in MCQs. 17. In a set of 10 MCQs per Unit, there should be maximum of 2 basic, minimum of 3 medium

and 3 advanced questions.18. The question should be asked from example to concept but not vice versa. The concept

should come from the student while answering the question.19. Creativity is necessary not only for the creation of questions but equally for the creation of

alternatives.

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Basic Idea: Student should exercise his/her mind while answering the question. The question should force him/her to learn rather than depend on past memory. Goal: Each question should be an independent entity like a micro caselet (anecdote) with four/five lines to represent a situation/context/concept/experience/practice/perspective etc.

Unit 11: Product and Product Lines111. Apple has unveiled two new iPhones, the iPhone 6 at $199 and the iPhone 6 Plus at $299

price. While both models include the same 64-bit A8 chip and the same general design, there are several differences between the two phones. The iPhone 6 measures in at 6.9mm, while the iPhone 6 Plus is slightly thicker at 7.1mm. Apple's iPhone 6 Plus also has three major differentiating factors: optical image stabilization for the camera, and a longer battery life, and an iPad-style landscape mode that displays more content on the screen. The two products iPhone 6 and iPhone 6 Plus represent the following product personality.

a) iPhone 6 as Augemented product and iPhone 6 Plus as Potential productb) iPhone 6 as Potential product and iPhone 6 Plus as Potential productc) iPhone 6 as Augemented product and iPhone 6 Plus as Augumented productd) iPhone 6 as Potential product and iPhone 6 Plus as Augumented producte) iPhone 6 as Augemented product and iPhone 6 Plus as Expected product

112. Doctors prescribe Crocin, a drug commonly used to treat fever and pain. The main chemical in the drug is Paracetamol. A chemist in a medical shop near All India Institutes Medical Sciences (AIIMS), New Delhi suggests another drug that has the same chemical Paracetamol with a cheaper price to attract more AIIMS patients. Once there is news in the press that few of the doctors insist patients to buy prescribed brand (more expensive) drugs in order to get incentives from pharmaceutical companies. Customers are happier with the drug suggested by the chemist because it is more affordable and effective too. Customers also don’t like to be burdened with doctor’s incentives. The drug suggested by the chemist has the following product personality.

a) Expected product since customers want a cheaper productb) Augmented product because Chemist added value into the drugc) Potential product where the drug has more future potentiald) Generic product that avoids taxes and advertising expensese) Augumented product because Crocin offers more incentives to doctors

113. Chandu Tailor & Son Ltd, a London-based Gujarati Family business house, offers a “Golden Charter” pre-paid funeral plan for clients. It is like an insurance for which the client pays at today’s price the ‘premium’ equalling £2,299 for the basic plan. When the client passes away, Golden Charter pays for the funeral cost from the accumulated fund. Based on the usage of the product, ‘Golden Charter’ can be classified as ---------type of product.

a) Convenience product that makes funeral more convenientb) Shopping product where customer spends considerable time and effort before buying

funeral plan c) Specialty product which is expensive hence planned well before the deathd) Industrial product which can be preserved for future usage after deathe) Unsought product which is purchased in the face of uncertainty of death

114. Box, headquartered in Palo Alto, Calif., has a playful take on seating arrangements as they added swings to their office. Microsoft employees pull up a seat around the large touchscreen tablet table. Facebook employees can take advantage of a video game room. Google keeps some fun in mind at one of their offices as employees can literally slide from one floor down to the next with well designed set up. The seating arrangements, large touch screen tablet table, video game room and slide from one floor down to the next with well designed set up, etc.

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facilitate more productivity. These types of set up help office activities for better performance. The facilitating products are called as -----------------

a) Accessory equipment b) Consumable suppliesc) Capital equipmentd) Component partse) Process material

115. Colgate is a No.1 toothbrush and toothpaste brand in India with a range of products for oral care, personal care, home care and professional oral care. The following list of products conveys the richness of Colgate toothpaste category.

Colgate dental cream Colgate total Colgate visible white Colgate sensitive Colgate sensitive-Pro-Relief Colgate Max Fresh Colgate Kids Toothpaste Colgate Herbal Colgate Cibaca family Protection Colgate Active Salt Colgate Max White Colgate Active Salt Healthy White Colgate Optic White

Which of the following is true about the product mix of Colgate?

a) Colgate has more width but less lengthb) Colgate has more depth but less consistencyc) Colgate has more depth and more consistencyd) Colgate has less width and more lengthe) Colgate has more width and more consistency

116. Wipro provides a range of IT services, software solutions and research and development services in the areas of hardware and software design to companies worldwide. The Company’s also manufactures range of products such as desktops, notebooks, net power servers, netStor storage and super computers. It is into business segment such as infrastructure engineering business. The Company’s Others segment is centered on its mobile construction equipment business and its material handling business. Wipro’s Consumer Care and Lighting (CCL) business segment focuses on market segments in personal care and household lighting and office products. The personal care products include deodorants and fragrances, hair care, bath and shower, skin care and other personal care products. The following best describes the product mix strategies of Wipro?

a) Introducing products to expand product mix into related areasb) Introducing products to expand product mix into unrelated areasc) Introducing products to expand product mix into related and unrelated areasd) Eliminating products to contract product mix from unrelated to related arease) Eliminating products to contract product mix from related to unrelated areas

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117. Lifebuoy is a brand of soap containing phenol marketed by Hindustan Unilever Limited (HUL). Lifebuoy has journeyed from being a chunky red bar of soap to an evolved range of general and specialized products across formats, offering solutions in the health and hygiene space. Lifebouy has a strong social mission, promoted through its rural hygiene programme, Khushiyon Ki Doli, which propagates the practice of hand washing with soap to reduce diarrheal deaths. Lifebuoy focuses on the following product mix strategy.

a) Expansion of product mix from a chunky red bar to Super fast hand washb) Contraction of product mix by eliminating a chunky red barc) Altering existing product into specialized product to reduce diarrheal deathsd) Positioning the product in hygiene space to reduce diarrheal deathse) Enhancing company image by introducing premium priced hygiene soaps

118. Hyundai Motor recently launched the Grand i10 which is a car built on a different platform and will not replace the current i10 and i20. The Grand i10 is a 'Made for India' model which will subsequently be offered in other markets. To suit the tastes of Indian consumers, the company has done significant changes to the model – a major one is a longer wheelbase to liberate more passenger space, with a special emphasis on rear seat comfort. Industry experts believe that the Grand i10 could prove to be a critical car for Hyundai in its attempt to compete against the likes of Maruti Suzuki Swift. Hyundai wanted to manage its product line length in India with the following strategy.a) Line stretching by launching Grand i10 b) Line filling by introducing Grand i10c) Line modernization by launching Grand i10d) Line pruning by introducing Grand i10e) Line extension by Grand i10 to compete against Maruti Suzuki Swift

119. LG Electronics (LG) has unveiled LG Smart Home at IFA 2014 in Berlin, the global trade show for consumer electronics. LG Smart Home is built around the idea of unifying multiple smart appliances into a single, cohesive system in order to increase convenience and simplicity. LG Smart Home users can enjoy integrated control of their smart home ecosystem, as well as intelligent time- and energy-saving modes such as Leaving Home, Coming Home or Vacation. Which of the following strategy does LG follow if the product is priced very high?

a) Rapid skimming to take out more money from customersb) Slow skimming to increase customer base slowlyc) Rapid penetration to increase customer base fastd) Slow penetration to increase customer base slowlye) Rapid skimming and slow penetration to exploit few customers

120. Mrs. D Sangeetha Reddy, Vice President and Cluster Head, Radio Mirchi(Karnataka and Kerala) said, “A lot of companies have chosen to downsize, and may be that was right thing for them. We chose a different path. Our belief was that if we kept putting great products in front of customers, they would continue to open their wallets” while remembering Steve Jobs quote on new product development. She also advised students to visit the museum for new product failures in Washington DC. She also shared various examples of companies that have failed to

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place the products in a new way before the market for their sustainability. Where do you place Radio Mirchi on product life cycle?

a) Introduction stage because Radio Mirchi is new to customersb) Growth stage because Radio Mirchi is innovating consistently to attract more customersc) Maturity stage because Radio Mirchi is not able to attract new customersd) Decline stage because Radio Mirchi is getting competition from TV channelse) Death stage because Radio Mirchi is no more existing in the market

Multiple Choice – Answers and ExplanationsUnit 11: Product and Product Lines

111. (b). iPhone 6 as Potential product and iPhone 6 Plus as Potential product. Potential products include all the improvements that are possible under given technological, economic and competitive conditions.

112. (d). Generic product that avoids taxes and advertising expenses. Generic products do not come in fancy packaging and are not branded to avoid taxes. They are also offered at a cheaper price because it is sold through word-of-mouth so that advertising expenses can be avoided.

113. (e). Unsought product that is purchased in the face of uncertainty . Customers buy funeral plans out of uncertainties that are unsought occasions hence are treated as unsought products.

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114. (a). Accessory equipment. Products that help in production or office activities are known as accessories.

115. (c). Colgate has more depth and more consistency. Depth is the assortment of sizes, colors, and variations offered in each product in the product line. Consistency refers to the closeness exhibited by the product lines.

116. (c). Introducing products to expand product mix into related and unrelated areas. Wipro has been introducing variety of products to expand product mix into related and unrelated areas

117. (d). Positioning the product in hygiene space to reduce diarrheal deaths. Educating customers about the practice of hand washing with soap to reduce diarrheal deaths. Lifebuoy is focusing on the health and hygiene space.

118. (b). Line filling by introducing Grand i10. Hyundai wanted to serve different levels of customer segments by identifying gaps among segments.

119. (a). Rapid skimming to take out more money from customers. Companies price their products very high and also promote the products at a higher level during rapid skimming strategy.

120. (b). Growth stage because Radio Mirchi is innovating consistently to attract more customers. Radio Mirchi is adding innovating programs to increase customer base.

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