Ch 6 learn smarts

delivered

"New-to-the-market" services are categorized by either the type of service or by the way the service is _________.

6 months

A company can only advertise a product as "new and improved" for _____ after it has hit store shelves.

profitabilitiy

A company engaged in a business analysis is ultimately attempting to determine the ______ of a potential product.

outsourcing

A company may choose to procure ideas from a third-party supplier rather than from an internal source. This is referred to as _______.

test marketing

A company that is introducing a new product in its final form to a geographically limited market to see how well the product sells and get reactions from potential users is engaged in ________.

planned obsolescence

A company that still produces digital cameras when it plans to launch new technology that it knows customers would favor is engaging in _______.

external sources of idea generation

A company's customers An independent inventor A company's suppliers

new category entry

A fashion designer has an extensive product line, but has never offered a line of shoes before. If the designer decided to add shoes to the product line-up, the shoes would be classified as what type of product?

competitive advantage

A firm whose product is perceived to have more value than its competitors' products in the same category is said to have a(n) ________ ___________ and has a greater chance of its product being adopted quickly.

product line

A group of related products marketed by the same firm is known as its _______ ________.

marketing

A new product strategy aligns the development of products with the company's overall ___________ strategy.

idea

A product can be either a good, a service, or a(n) __________.

revamped

A product labeled "new and improved" would fall into which new product category?

disruptive

A technology that displaces an established technology and shakes up the industry is referred to as a _________ technology.

mass production

According to your text, several things have led to the rapid rate at which new products are developed. They are: faster and more economical transportation, the advent of electronic communication, and ______.

Electronic communication Faster transportation Mass production

According to your text, which of the following factors are responsible for the rapid rise in new product development that has taken place over the years?

product mix

Apple sells computers, iPhones, iPads, and iPods. The combination of all the products that Apple sells to its customers is referred to as its _________

innovators

Approximately 2.5% of those who adopt a product do so almost immediately after the product is launched. These people are called _____.

cosmopolitanism

As it relates to international product adoption, _________ refers to the extent to which a country is connected to other cultures.

early majority

Because they are information gatherers and careful in their approach, by the time the _______ buys a product, more competitors have entered the market, so this group will have some choice as to which product to buy.

laggards

Because they may never convince this group to buy their goods or service, marketers should spend the least amount of time on ______, since they are not easily motivated by any promotional strategy.

early adopters

Because they talk to other people about their experiences with their purchases, _________ _____________ are considered to be opinion leaders.

three key question(s) should be asked (and answered) during the idea screening stage

Can the product be developed and marketed on-time and within budget? Is the proposed product within the company's ability to produce? Will the product sell?

sustainable

Compared to an incandescent light bulb, an LED light bulb is an example of a good that is more ___________.

idea screening

Concept testing is part of the _____ stage of the new-product development process.

growth stage

During which stage of the product life cycle do companies begin to take advantage of economies of scale in purchasing, manufacturing, and distribution?

business analysis

Identifying at what price the product will likely be sold Estimating costs Estimating demand for the product are included in a

geographically limited market

If a company wishes to test market a product, it would do so to _______.

new product strategy development

If a firm uses a SWOT analysis or environmental scanning to determine where new products may be able to help strengthen the firm's marketing position, it would be done during which stage of the new-product development process?

simulated

In a ________ test market, a company will often show potential customers advertisements for the new product and for the competitor's product and ask consumers to choose between the firm's product and competing products.

decline

In the ________ stage of the product life cycle, marketers will often reduce promotion to a minimum, or eliminate it altogether.

growth

In the ________ stage of the product life cycle, not only is there intensive advertising to stress how the product differs from the competition in order to build awareness, but there is also an intensive effort to expand distribution of the product

idea screening

In which stage of the new-product development process would organizations use social media to evaluate potential new products?

sequential new-product development

In which type of new-product development do firms utilize an order in which functional areas consecutively complete their development tasks?

Awareness Interest Evaluation Trial Adoption

List in order from first to last the stages of the consumer adoption process.

positive attitude

Misti McCollum attributes her great people skills to making her successful in her career. What does she say provides the basis for developing good people skills?

idea screening

Most ideas for new products get rejected in the ______ _______ stage.

product development

Once a firm feels confident that a proposed new product will generate a profit for the company, it moves to the ______ __________ stage of the new-product development process.

introduction

Once a firm launches a product into the marketplace and innovators begin to buy it, it has entered the ___________ stage of the product life cycle.

bad attitudes

Over and over in his career, Tom Payne has seen talented people reviewed poorly and passed over for raises because of their ________.

product line extensions

Products that extend and supplement a company's established product line are called _______.

product mix consistency

Relates to how closely related product lines are to one another:

how new products can be classified

Revamped products New-to-the-market products Product-line extensions New-category entries

reasons many companies revamp old brands or products

Revamped products can be advertised along with existing products Revamped products carry less risk

Carefully listen to the customer for new product ideas Anticipate changes in the marketplace Make a commitment to the new-product development process

Select from the following the ways in which a company can reduce the risk of new product failures.

short

Technology-driven products tend to have a _______ PLC because of rapid changes in computing power and features which impacts how these products are marketed.

stages in the new-product development process

Test marketing Business analysis Idea generation are

maturity

The ___________ stage is usually the longest stage of the product life cycle and is characterized by fierce competition and market saturation.

decline

The decision by a firm to discontinue a product, reposition it, or find a niche market for the product occurs in the _______ stage of the product life cycle.

product launch

The final stage of the new-product development process is ____________ ____________.

sales

The highest level of risk in new-product development occurs when products prove to be dangerous and defective or when products fail to generate _________.

observability

The iPad is a highly-visible product. One can see consumers using the iPad in classrooms, airports, coffee shops, and many other public places. What product characteristic does this relate to?

product width

The number of different product categories a company offers:

product depth

The number of products a company offers within each category:

idea generation

The stage of new-product development in which a set of product concepts is generated from which to identify potentially viable new products is referred to as ________ __________.

launches

The term time to market refers to the speed with which a company _______ a product.

internal idea generation

The text describes how Arthur Fry had the idea to use the glue compound he learned about at an engineering presentation to create Post-it notes. This demonstrates which stage in the product development process?

five

There are _______ stages in a product's life cycle.

true

True or false: an advantage to revamping products is that companies can save money on advertisement costs for the product.

false

True or false: when comparing all the categories of new products, product-line extensions are the riskiest "New" product for companies.

complexity

Typically, the easier it is to understand and use a product, the faster it will diffuse. This is the essence of the product characteristic known as ___________.

diffusion

Understanding the process of _______ gives marketers a way to figure out who will likely buy their product over a period of time, plan an appropriate marketing mix, and forecast potential sales.

new product strategy development

What is the first stage of the new-product development process?

flexibility and networking

What two areas would Tom Payne like new graduates to think about when entering corporate America?

late majority

What type of consumer adopter may not act on a new product without peer pressure?

definition of "new"

When it comes to ethical issues involving new-product development, the Federal Trade Commission most commonly engages in legal matters with firms over ______.

lifestyles, income levels, and demographics

When selecting a test market, which of the following characteristics of a target market should the firm be trying to mirror?

new to the market products

Which category of new products carries the most potential (and risk) for the company introducing them?

concurrent new-product development

Which new-product development path uses cross-functional teams made up of representatives from various departments to develop goods and services?

Quickly notify the public and recall the product if it could possibly injure a person Test prototypes of the product before production begins Regularly test samples of the finished products for possible defects.

Which of the following are companies obligated to do in order to ensure its products are safe?

It is an expensive process It can lead to competitor imitation It can be time-consuming

Which of the following are risks associated with test marketing?

high learning products

________ products are those that take longer for consumers to see the benefits of or that do not have a good infrastructure in place to support them.