Use This Information for Questions That Refer to the Yummy

question 254

Multiple Choice

Use this information for questions that refer to the Yummy Ice Cream case. Kelly Stich,marketing manager for Yummy Ice Cream Products,is thinking about some of her products and her promotion plans for the coming year.
Yummy Ice Cream Products is introducing a new ice cream treat called Planet Savers.This treat uses ice cream produced with environmentally friendly processes that save energy and protect the ozone.Yummy plans to send articles to magazines,local newspapers,and environmental groups that explain the environmentally safer treat.The product also has a unique texture and different flavor.
Stich wants to use counter cards and in-store signs to let people know about Cherry Walrus,the company's new flavor.She is also developing sales training materials that will teach ice cream scoopers in Yummy's ice cream stores to promote the product.Right after Cherry Walrus is introduced,each store will also hand out coupons that are good for one day only.
Yummy Mondaes is a product that has been around for 25 years.It is Yummy's take on the classic ice cream sundae,but white-brownie and coffee-flavored crumbles are added to make it extra special.The company sells this product in one-quart and two-quart containers through major grocery store chains.It relies on personal selling and price discounts to retailers to move more of the product.The company does very little consumer promotion for this product.
Yummy Fudge-on-a-Stick is a new product of fudge-flavored ice cream on a stick.Yummy plans to sell it through retail grocery stores and is launching an aggressive advertising program that will use television,radio,newspaper,magazines,and the Internet.Most of its promotion will be directed at consumers.
Two years ago,the company introduced Yummy Fruit-on-a-Stick,an all-natural frozen fruit product on a stick.The product category has been popular,continues to grow,and is in the market growth stage of the product life cycle.
To get the most out of its promotion spending,Yummy should probably develop its budget by

• A)allocating some fixed percentage of net sales.
• B)matching expenditures with competitors.
• C)allocating money to the needs of new products first,then use any leftover money for other products.
• D)using the task method.
• E)spending all available funds.

---

Definitions:

Vagus Nerve Stimulation

A medical treatment involving the delivery of electrical impulses to the vagus nerve to treat conditions like epilepsy and depression.

Transcranial Magnetic Stimulation

A non-invasive procedure that uses magnetic fields to stimulate nerve cells in the brain.

Deep Brain Stimulation

A neurosurgical procedure that involves implanting electrodes in the brain to regulate abnormal impulses.

Interpersonal Therapy

A short-term, attachment-focused psychotherapy that centers on improving interpersonal relationships and social functioning to help alleviate symptoms of mental illness.