### **Potential Exam Questions: Chapter 4-3 (Brand Positioning)**
#### **Multiple Choice Questions**
1. **What is the primary goal of brand positioning?**
a) To reduce production costs
b) To occupy a distinctive place in the minds of the target market
c) To eliminate competitors
d) To standardize marketing messages
**Answer:** b) To occupy a distinctive place in the minds of the target market
2. **Which of the following is a key component of a value proposition?**
a) Points of parity (POPs) and points of difference (PODs)
b) Employee training programs
c) Government regulations
d) Supply chain logistics
**Answer:** a) Points of parity (POPs) and points of difference (PODs)
3. **A brand mantra is BEST described as:**
a) A financial report on brand performance
b) A 3-5 word phrase capturing the brand’s essence
c) A legal trademark document
d) A list of competitor weaknesses
**Answer:** b) A 3-5 word phrase capturing the brand’s essence
4. **Which of these is an example of a *point of difference* (POD)?**
a) A bank offering free checking (common in the industry)
b) Apple’s "ease of use" compared to other tech brands
c) A car having four wheels (category POP)
d) A restaurant accepting credit cards (competitive POP)
**Answer:** b) Apple’s "ease of use" compared to other tech brands
5. **What does a perceptual map visualize?**
a) Supply chain networks
b) Consumer perceptions of brands on key attributes
c) Employee satisfaction levels
d) Manufacturing efficiency
**Answer:** b) Consumer perceptions of brands on key attributes
---
#### **Short Answer Questions**
6. **Define *points of parity* (POPs) and *points of difference* (PODs). Provide an example of
each.**
**Answer:**
- **POPs:** Attributes shared with competitors (e.g., all smartphones have touchscreens).
- **PODs:** Unique brand associations (e.g., Volvo’s emphasis on safety).
7. **Explain the purpose of a *brand mantra* and give an example.**
**Answer:**
A brand mantra succinctly communicates the brand’s core promise (e.g., Nike’s "Authentic
Athletic Performance").
8. **List three criteria for effective PODs.**
**Answer:**
Desirable to consumers, deliverable by the company, and differentiating from competitors.
---
#### **Essay Questions**
9. **Describe the steps to develop a brand positioning strategy. Use the *bull’s-eye model* to
illustrate your answer.**
**Answer:**
Steps include:
1. **Identify the target market** (e.g., discerning coffee drinkers).
2. **Analyze competition** (e.g., Starbucks vs. local cafés).
3. **Define POPs/PODs** (e.g., Starbucks’ "third place" experience).
4. **Create a brand mantra** (e.g., "Rewarding everyday moments").
The bull’s-eye model layers these elements around a central consumer insight.
10. **How can a company use perceptual maps to refine its positioning? Provide a hypothetical
example.**
**Answer:**
Perceptual maps plot brands on axes (e.g., "price" vs. "quality"). If a brand clusters near
competitors, it may lack differentiation. Example: A soda brand could reposition from "low
price" to "premium taste" to fill a gap on the map.
---
#### **Application/Case Study Questions**
11. **Scenario:** A new electric vehicle (EV) brand wants to compete with Tesla. Using the
*competitive frame of reference*, identify:
- **Two industry competitors** (e.g., Tesla, Ford).
- **Two market competitors** (e.g., public transport, bicycles).
- **One POD** (e.g., "10-minute battery swap").
12. **Analyze the table below (similar to Table 2 in the text). Which competitor is strongest in
*mind share*? What strategic threat does this pose?**
| Competitor | Market Share | Mind Share | Heart Share |
|------------|--------------|------------|-------------|
|A | 30% | 50% | 40% |
|B | 40% | 30% | 50% |
**Answer:**
Competitor A dominates mind share (50%), indicating strong brand recall. The threat is losing
customers to A despite B’s higher market share.
---
#### **True/False Questions**
13. **T/F:** "Category points of parity are unique to a brand."
**Answer:** False (They’re shared by all legitimate brands in the category.)
14. **T/F:** "Emotional branding focuses solely on product features."
**Answer:** False (It emphasizes culture, storytelling, and sensory engagement.)
---
#### **Matching Questions**
15. **Match the brand to its mantra:**
a) Nike
b) McDonald’s
c) Disney
i) "Fun family entertainment"
ii) "Authentic athletic performance"
iii) "Food, folks, and fun"
**Answer:** a-ii, b-iii, c-i
---
These questions test conceptual understanding (e.g., POPs/PODs), analytical skills (e.g.,
perceptual maps), and strategic application (e.g., competitive analysis). They align with key
chapter themes like differentiation, brand mantras, and positioning frameworks.
