Future Business Leaders of America (FBLA) Marketing Practice Test

What does a change in the tangible parts of a product or service primarily affect?

1. Form utility

2. Price utility

3. Time utility

4. Place utility

The correct answer is: Form utility

A change in the tangible parts of a product or service primarily affects form utility. Form utility refers to the value added to a product or service as a result of changes in its physical characteristics or structure. When a company alters the design, materials, or features of a product, it is directly impacting the form utility by making it more appealing or functional to consumers. For example, if a car manufacturer introduces a new model with updated aesthetics and improved components, the changes enhance the form utility by improving the product's overall effectiveness and desirability. In contrast, the other types of utility do not focus on the tangible aspects as directly. Price utility involves the perceived value of a product in relation to its cost. Time utility is concerned with making products available when consumers want them, while place utility relates to providing products where they are needed. These aspects are less about the physical characteristics of the product itself and more about the context of availability, pricing, and consumer needs. Thus, when discussing the effects of tangible changes, form utility is the most relevant concept.