SHAMPOO MINI CASE: Shimmer Is a Well-Known Brand of Shampoo

question 4

Multiple Choice

SHAMPOO MINI CASE: Shimmer is a well-known brand of shampoo that is recognized as being endorsed by the hair dressers of Hollywood stars. Consumers who are highly attuned to social risks associated with personal beauty products perceive that Shimmer shampoo is a high quality shampoo formulation that won't damage hair and renders hair easy to manage and style. The company has recently come out with a line of conditioners under the Shimmer brand name in the hope that consumers will carry their perceptions of Shimmer shampoo over to the new line of conditioners.
-In the SHAMPOO MINI CASE, Shimmer's new line of conditioners bearing the Shimmer brand is the ________.

• A) conditioned stimulus
• B) conditioned response
• C) unconditioned stimulus
• D) unconditioned response
• E) cognitive associative learning

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Definitions:

Alpha

Alpha is a measure used in finance to describe an investment strategy's ability to beat the market, or its "excess return" relative to the return of the benchmark index.

Index Model

A model of stock returns using a market index such as the S&P 500 to represent common or systematic risk factors.

Covariance

A measure indicating the relationship between two variables and how they move together or apart from each other, used in finance to measure how the returns of two securities are related.

Factor Model

A way of decomposing the factors that influence a security’s rate of return into common (systematic) and firm-specific influences.