chapter 6
A product that has new packaging, different features, and updated designs and functions is a A. new-to-the-market product. B. product line extension. C. revamped product. D. new category entry. E. remanufactured product.
C
During which stage of the product life cycle does a company have to promote the differences between its brand and that of the competition, and attempt to portray its competitive advantage? A. maturity B. introduction C. growth D. beginning E. decline
C
From a marketing standpoint, which group of product adopters should marketers spend the least amount of time and effort in convincing them to buy a product? A. innovators B. early majority C. laggards D. late majority E. early adopter
C
If a product idea is deemed to have the potential of being profitable in the business analysis stage, then it moves on to the A. product launch stage. B. test marketing stage. C. product development stage. D. concept testing stage. E. idea screening stage.
C
In what stage of the new-product development process would a company use a SWOT analysis and environmental scanning to determine where new products may be able to help strengthen the firm's marketing position? A. idea generation B. idea screening C. new-product strategy development D. business analysis E. test marketing
C
The process of applying a product idea in one direction, then, if that does not work out, applying it in another way is called A. revamping. B. remanufacturing. C. pivoting. D. positioning. E. spinning.
C
As it pertains to new product characteristics, the superior position a product enjoys over competing products if consumers believe it has more value than other products in its category is referred to as A. observability. B. compatibility. C. superiority. D. product preference. E. competitive advantage.
E
Estimating the cost of a product, identifying the price at which a product will be sold, and estimating the demand for a product all take place in which stage of the new-product development process? A. product development B. new-product strategy development C. test marketing D. product launch E. business analysis
E
First introduced in 1935 and highly popular in the early 1980s, Sperry Top-Sider shoes are once again a hit with young adult consumers. These shoes are an example of a A. low-learning product. B. fad product. C. slow-learning product. D. high-learning product. E. fashion product.
E
Which of the following makes up the smallest percentage of new products but carries the most potential (and risk) for the company introducing them? A. new-to-the market products B. new category entries C. repositioned products D. product line extensions E. revamped products
a
As defined in your text, a product refers to A. a tangible good that is received in exchange for money, time, or effort. B. the specific combination of goods, services, or ideas that a firm offers to its target market. C. any intangible offering a firm makes to an individual consumer or a business. D. any good or service that is mass produced and sold in more than one market. E. marketed items of value that fulfill a need of an individual consumer or business.
b
When Allstate Insurance advertises You're in Good Hands with Allstate, it is marketing A. a good. B. an idea. C. a service. D. an action. E. a concept.
b
In marketing terms, the care you receive when you visit your family doctor is an example of A. a good. B. an idea. C. a service. D. an action. E. a concept.
c
Which of the following is NOT a risk in developing a new-to-the-market product? A. The product can be time-consuming to develop. B. It could leave the firm with development costs that can't be recaptured if the product fails. C. The value the product provides customers could render existing products obsolete. D. It can be expensive to develop, creating significant risk for the firm. E. It requires a great deal of research and development.
c
According to your text, three factors are responsible for the rapid rise in new product development. They are faster and more economical transportation, the advent of electronic communication, and A. mass marketing. B. the requirement of patents and trademarks. C. free trade. D. mass production. E. lessening of government restrictions.
d
Dell doesn't currently offer an e-reader in its product line. However, if the company decided to enter the market by producing an e-reader of its own, it would be classified as what type of product? A. new-to-the-market B. product line extension C. revamped product D. new category entry E. product line improvement
d
Which category of product adopters relies on others for information and buys a product because their friends have already done so? A. innovators B. early majority C. laggards D. late majority E. early adopter
d
First introduced in 1935 and highly popular in the early 1980s, Sperry Top-Sider shoes are once again a hit with young adult consumers. These shoes are an example of a A. low-learning product. B. fad product. C. slow-learning product. D. high-learning product. E. fashion product.
e
Inventions that have never been seen before and create a new market are considered A. revamped products. B. new category entries. C. repositioned products. D. product line extensions. E. new-to-the-market products.
e
Siobhan wants to join a new health club. Her roommate belongs to a club that Siobhan heard about on the radio. She decides to use her roommate's free guest passes to try out the club to see if it meets her needs. What stage of the consumer adoption process does this represent? A. trial B. awareness C. interest D. comparison E. adoption
A
The Ford Motor Company produces the Fiesta, Focus, Fusion, and Escape. As a group, these cars represent a A. product line. B. marketing mix. C. product mix. D. marketing line. E. marketing class.
A
The procedure in which marketing professionals ask consumers for their reactions to verbal descriptions and rough visual models of a potential product is called A. concept testing. B. test marketing. C. prototype evaluation. D. idea screening. E. concept marketing.
A
The process by which new products are likely to be adopted, the rate at which they will be adopted, and the process through which the products will spread into markets is referred to as A. diffusion. B. time to market. C. planned obsolescence. D. distribution. E. circulation.
A
The stage of the new-product development process in which a set of product concepts is generated from which to identify potentially viable new products is called idea A. generation. B. screening. C. development. D. analysis. E. marketing.
A
The type of development path preferred by most supply chain management professionals is A. concurrent new-product development. B. sequential new-product development. C. parallel new-product development. D. functional new-product development. E. departmental new-product development.
A
When categorizing risk in new-product development, the highest level of risk occurs when A. the product fails to generate sales. B. supplier cost savings are not achieved. C. inadequate supply of materials delays production. D. the product takes sales away from existing products. E. competitors copy products and sell them at a lower price.
A
Which stage of the product life cycle usually lasts the longest? A. maturity B. introduction C. growth D. beginning E. decline
A
Burt's company is in the process of developing what he feels is a complex and risky project. Burt has decided to use a development sequence in which functional areas consecutively complete their development tasks. That way each set of activities can be easily tracked. What type of development path is Burt using? A. concurrent B. sequential C. parallel D. functional E. departmental
B
Business analysis refers to the stage of the new-product development process A. where the direction a company will take in developing a new product is determined. B. where a new product is analyzed to determine its profitability. C. where a SWOT analysis and environmental scanning are used to determine if a new product will help strengthen the firm's marketing plan. D. where it is decided if a product can be developed and marketed within the time and budget constraints of the company. E. where a concept test is performed to determine if the product will sell.
B
During which stage of the product life cycle do customer service and repairs begin to take on significance as a way to differentiate a firm's products? A. introduction B. maturity C. beginning D. decline E. growth
B
How long can a company advertise a product as new and improved after it hits store shelves? A. 3 months B. 6 months C. 1 year D. 2 years E. indefinitely
B
In what stage of the new-product development process would organizations use social media to evaluate potential new products? A. idea generation B. idea screening C. test marketing D. product launch E. business analysis
B
The most common ethical issue in new-product development involves the Federal Trade Commission's definition of the term A. improved. B. new. C. better. D. guaranteed. E. healthier.
B
The new product characteristic that refers to how well a new product fits into potential customers' needs, values, product knowledge, and past behaviors is A. observability. B. compatibility. C. trialability. D. complexity. E. competitive advantage.
B
Udi's Gluten Free sells bread, bagels, cookies, pizza crust, and other products that are gluten free. The combination of all the products that Udi's Gluten Free sells is referred to as its A. marketing mix. B. product mix. C. product line. D. category line. E. name brand.
B
What type of adopter is typically well respected by their peers, and marketers seek to gain their acceptance because they tend to be opinion leaders who are willing to talk to other people about their experiences with their purchases? A. innovator B. early adopter C. laggard D. late majority E. early majority
B
Which of the following would be considered an internal source of idea generation? A. a company's customers B. a company's employees C. a company's competitors D. a company's suppliers E. an independent inventor
B
Which stage of the new-product development process is usually the most expensive for new products? A. business analysis B. product launch C. test marketing D. product development E. idea screening
B
Which stage of the product life cycle is characterized by low or negative profits and companies may need to offer incentives to stores to get them to carry the product? A. maturity B. introduction C. growth D. beginning E. decline
B
Which type of product has a product life cycle curve that is a steep up-and-down curve because consumers rapidly adopt and then abandon the product? A. low-learning products B. fad products C. slow-learning products D. high-learning products E. fashion products
B
A group of related products marketed by the same firm is its A. product mix. B. marketing mix. C. product line. D. marketing line. E. product category.
C
Read the following list of tasks and select the one that does NOT take place during the product launch stage. A. purchase the materials to make and package the good B. hire and train employees C. make sure the product can be manufactured at a cost low enough to generate profits D. manufacture enough of the good to fill distribution pipelines E. prepare internal systems for taking service orders
C
The marketers at Pantene included a trial size of their new shampoo within the pages of the September InStyle Magazine. National sales increased dramatically within a few weeks, an example of this product's A. observability. B. compatibility. C. trialability. D. complexity. E. competitive advantage.
C
The practice in which companies frequently come out with new models of a product that make existing models obsolete is an ethical issue related to new-product development and is termed A. bait-and-switch. B. time to market. C. planned obsolescence. D. diffusion. E. diversion.
C
Which of the following is NOT one of the stages in the new-product development process? A. idea screening B. business analysis C. concept testing D. product development E. product launch
C
A concept test is part of which stage of the new-product development process? A. idea generation B. product development C. product launch D. idea screening E. test marketing
D
A mockup of a good with the materials the firm expects to use in the final product is called a A. blueprint. B. sample. C. template. D. prototype. E. model.
D
If a firm builds a mock shopping experience for participants to observe their response to marketing stimuli, this is referred to as a A. prototype. B. concept test market. C. focus group. D. simulated test market. E. trial test market.
D
In which stage of the new-product development process do most ideas for new products and services end up getting rejected for one reason or another? A. business analysis B. idea generation C. test marketing D. idea screening E. product development
D
Products that take longer for consumers to see the benefits of or that do not have a good infrastructure in place to support them are called A. low-learning products. B. complex products. C. slow-learning products. D. high-learning products. E. extended products.
D
Read the following statements and select the one that is NOT an advantage of a product line extension. A. The company and brand may be easily recognized. B. Customers may feel loyalty to the product line. C. Manufacturing of goods may be more efficient. D. The new product is certain to be accepted by the market. E. The new product can be advertised alongside existing products.
D
The term time to market refers to A. the time it takes to develop a product. B. how long a company spends test marketing a product. C. the time a new product spends on the market before becoming accepted by the public. D. the speed with which a company launches a product. E. the time it takes the marketing department to develop an advertising campaign.
D
What stage of the product life cycle is characterized by a full line of products, an intensive effort to maintain distribution, and a product price is equal or below that of competitors? A. introduction B. beginning C. growth D. maturity E. decline
D
Which category of product adopters relies on others for information and buys a product because their friends have already done so? A. innovators B. early majority C. laggards D. late majority E. early adopter
D
Which of the following accurately represents the steps in the consumer adoption process? A. interest, comparison, evaluation, trial, and adoption B. awareness, evaluation, trial, adoption, feedback C. interest, evaluation, comparison, trial, and adoption D. awareness, interest, evaluation, trial, and adoption E. awareness, research, comparison, evaluation, and adoption
D
Which of the following factors most likely drives the decision to use a concurrent approach in the development of high-tech products? A. cost B. risk C. complexity D. speed E. control
D
Which of the following is NOT a stage in the product life cycle? A. maturity B. introduction C. growth D. obsolescence E. decline
D
Compare the following to determine which is NOT a way that companies can reduce the risk of new product failures? A. carefully listen to the customer for new product ideas B. understand current market trends to anticipate demand C. be willing to fail on occasion D. anticipate changes in the marketplace E. skip steps in the development process to market a product sooner
E
Idea generation is the stage in the new-product development process in which A. it is determined if the idea fits into the company's marketing strategy and should be developed. B. prototypes are developed to test new product ideas. C. the company determines the direction it will take in developing new products. D. ideas are test marketed with consumers to determine if they should be developed further. E. a collection of product concepts is generated for determining potentially viable new products.
E
If a company is using coupons or buy-one-get-one-free promotions to reduce the existing inventory of a product, that product is most likely in what stage of the product life cycle? A. maturity B. introduction C. growth D. beginning E. decline
E
In what stage of the new-product development process would a company make a prototype of the product? A. product launch B. test marketing C. idea screening D. idea generation E. product development
E
Nora is in the market for a new HD television. She has spent quite a bit of time gathering information and thinking about the purchase. She has asked her friends for opinions about the models they own and is happy that there are a lot of models to choose from. Nora is most likely what type of adopter? A. innovator B. early adopter C. laggard D. late majority E. early majority
E
The new-product strategy development stage accomplishes all of the following EXCEPT A. it provides general guidelines for the new-product development process. B. it specifies how new products will fit into the company's marketing plan. C. it outlines general characteristics of the types of products the firm will develop. D. it specifies the target markets to be served by new products. E. it outlines the costs that will be incurred for the development of new products.
E
When Fisher-Price comes up with an idea for a new toy, it needs to ensure that the children who play with the toy will not choke on any of its parts and that the toy in general will not be a hazard to the children who will be using it. In what stage of the new-product development process will these safety checks occur? A. product launch B. test marketing C. idea screening D. idea generation E. product development
E
Which of the following accurately describes new category entries? A. inventions that have never been seen before and create a new market B. products that are new to a company but not new to the marketplace C. products that extend and supplement a company's established product line D. products that have new packaging, different features, and updated designs and functions E. products that are reintroduced into the marketplace after having been off the market for a lengthy time
b
Which of the following is NOT a way to categorize new products? A. new-to-the market products B. new category entries C. brand development D. product line extensions E. revamped products
c
The specific combination of goods, services, or ideas that a firm offers to its target market is referred to as A. inventory. B. a load. C. stock. D. supply. E. a product.
e
As firms introduce new products at a faster rate, what tends to happen to existing products in the product mix? A. Existing products enter the maturity and decline stages more quickly. B. Production costs for existing products tends to go down. C. Existing products enter the maturity and decline stages more slowly. D. The price of existing products tends to go up. E. Product life cycles become much slower.
A
During which stage of the new-product development process would a firm test the marketing strategy related to the new product? A. test marketing B. business analysis C. idea screening D. product development E. product launch
A
In which stage of the product life cycle is the price usually the highest? A. introduction B. beginning C. growth D. maturity E. decline
A
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 A. concept testing. B. test marketing. C. idea screening. D. concept marketing. E. product screening.
B
A good or a service will likely fail to be profitable if which of the following adopters does not purchase the product? A. innovators B. early majority C. laggards D. late majority E. early adopter
B
A product labeled new and improved would fall within the category of a A. new-to-the-market product. B. revamped product. C. product line extension. D. new category entry. E. remanufactured product.
B
Which of the following is NOT a key question that should be asked in the idea screening stage? A. Will the product sell? B. Will the product meet the minimum return-on-investment requirements? C. Can the product be launched in a timely manner? D. Can the product be developed within the time and budget constraints of the company? E. Is the proposed product within the company's ability to produce?
C
