Each Cutco knife goes through 30 steps to ensure that it meets the firm's standards and provides a good value for a premium product. These steps help guarantee that each knife has the same degree of quality over time, which is known as .

a. product design

b. product differentiation

c. consistency of quality

d. level of quality

e. product modification

Cutco promotes and prices its knife products to convey its premium quality and backs them with exceptional customer service to make its products stand out in a crowded market. Which of the following terms is used to describe the process of creating and designing products so customers perceive them as different from competing products?

a. Quality differentiation

b. Line extension

c. Product differentiation

d. Product modification

e. Product design

When Cutco introduced pink-handled products and made a donation for every pink-handled knife sold, it was using .

a. product differentiation

b. product modification

c. perceptual mapping

d. product positioning

e. line extension

Cutco competes on the basis of its products' value, premium quality, exceptional service, and the fact it is "made in the USA." This illustrates Cutco's .

a. positioning

b. product modification

c. quality modification

d. product differentiation

e. promotion

Based on the information given in the question, the correct options will be:

(I) Consistency of quality

(II) Product differentiation

(III) Line extension

(IV) Positioning

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Answer 1: Consistency in quality

Explanation: Consistency in quality means that an organization tends to brings about a an overall consistency among the employees and the goals of the company. This leads to the outcome of quality consistent product by defining developmental steps and processes.

In above scenario, the 30 steps of knife making make sure that each knife is consistent with defined quality goals of the organization and its reputation.

Answer 2: Product differentiation

Explanation: Product differentiation is a concept in which a company tends to present its products to the market in a way that it establishes a specific place in the market and in ts own product line.

The product development consists of high quality materials and the final product stands out in the market. The market of such products is very niche. The Knife Cutco is promoting, is going through the product differentiation phase.

Answer 3: Product positioning

Explanation: Product positioning is a phenomenon in which a company positions their products in the minds of the consumer. They build an imagery of their product which is thought on every mention of that product.

When Cutco decided to make a donation with every pink handled knife sold, it was creating a perception of Goodwill attached to this product. It automatically attracts the donaters and do good people in the market.

Answer 4: Promotion

Explanation: Promotion is one of the biggest reasons why a product move ahead in the priority list of the customers. It enhances the positives and hides the negatives and creates a perception in the minds of the customers.

Cutco promotes its products on the basis of its products' value, premium quality, exceptional service, and the fact it is "made in the USA." This segregates them from the rest of the market and pushes it in the front row, by creating trust and reputation.

Therefore, this represents Cutcos' promoting strategies and efforts.

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