marketing chapter 12

According to your text, some estimates indicate that only about _____ percent of new products actually succeed. Multiple Choice 52 25 45 10 3

3

When a firm attempts to determine whether the product will perform according to its design and whether it satisfies the need for which it was intended, it partakes in alpha testing. the product launch. beta testing. premarket testing. postmarket testing.

Alpha testing

The introduction of the Apple iPod is an example of a(n) _____ because its introduction to the market radically changed consumer preferences and the entire competitive landscape. Multiple Choice pioneer fad imitator early adopter laggard

a pioneer

The first physical form or service description of a new product, still in rough form, having the same properties as a new product, but produced through different manufacturing processes, is called Multiple Choice an idea. a concept. a pioneer. a model. a prototype.

a prototype

A product that is perceived to be better than most substitutes is said to have _____, which should speed up the diffusion process. Multiple Choice observability compatibility complexity a relative advantage trialability

a relative advantage

When Ben & Jerry's Ice Cream tests all its proposed new flavors on its own employees at its corporate headquarters in Vermont, it is partaking in Multiple Choice Nielsen testing. beta testing. postmarket testing. the product launch. alpha testing.

alpha testing

Kyle is highly knowledgeable about new developments in bicycling technology, since he reads everything he can find about the subject. Typically, being the first to try out new bicycle models, he would be classified _____ in terms of the diffusion of innovation curve. Multiple Choice in the early majority in the late majority as an innovator as a laggard as an early adopter

as an innovator

When a product is offered in a foreign market but cultural differences slow down the diffusion process, it would most likely be attributed to low levels of Multiple Choice trialability. compatibility. complexity. innovation. observability.

compatibility

In the new product development process, this stage is when the company provides brief written descriptions of the product and what customer needs it would satisfy, sometimes including visual images of what the product would look like. Multiple Choice idea generation. concept testing. product development. product launch. market testing.

concept testing

The 5.5 million vinyl long-playing (LP) records sold in the United States per year pales in comparison with the 1.26 billion digital downloads. The grooves in vinyl records create sound waves that are similar to those of a live performance, however, which means they provide a more authentic sound, which in turn means nightclub DJs, discerning music listeners, and collectors will always prefer them. Firms that sell LPs position themselves for a niche segment of diehard consumers. They are in the _____ stage. Multiple Choice introduction product development growth maturity decline

decline

_____ refers to the process by which the use of a product, service, or process spreads throughout a market group over time and across various categories. Multiple Choice The product life cycle Diffusion of innovation Fashion cycles Market segmentation Innovation

diffusion of innovation

Although they enjoy novelty and are considered to be opinion leaders, _____ are not the first to purchase new product innovations. Multiple Choice early adopters the late majority innovators the early majority laggards

early adopters

If the _______ buying group is relatively small, the number of people who ultimately adopt the innovation likely will also be small. Multiple Choice the early majority laggard innovator the late majority early adopters

early adopters

As _____, one of the advantages that pioneers have is they create a new market or product category, establishing a commanding initial market share lead. Multiple Choice imitators early adopters first movers fashion cycles laggards

first movers

At which stage in the product life cycle do sales experience their most rapid increase? Multiple Choice decline growth product development maturity introduction

growth

During the ___________ stage, firms attempt to reach new consumers by studying their preferences and producing different product variations—varied colors, styles, or features—which enable them to segment the market more precisely. Multiple Choice growth introduction first maturity decline

growth

In the new product development process, companies have a variety of ways for _____ including collaborating with other firms, brainstorming, licensing, and customer research. Multiple Choice concept testing product launch product development market testing idea generation

idea generation

Which of the following terms refers to the process by which ideas get transformed into new offerings, including products, services, processes, and branding concepts that will help firms grow? Multiple Choice marketing product development concept testing strategic planning innovation

innovation

_______ are crucial to the success of any new product or service because they help the product gain market acceptance by spreading positive word of mouth about the new product. Multiple Choice The late majority Laggards Innovators The early majority Early adopters

innovators

In some cases, _____ may never adopt a certain product or service since they rely on traditional products until they are no longer available. Multiple Choice early adopters the late majority laggards innovators the early majority

laggards

In managing its product portfolio, 3M demands that a specific percentage of its yearly sales come from new products introduced within the previous few years to better withstand external shocks and Multiple Choice improve business relationships. change customer preferences. hedge against market saturation. manage risk through diversification. respond to fashion cycles.

manage risk through diversification

People who get Botox treatments consider it to be a private matter; therefore, they do not discuss it with others. This lowers the level of _____, slowing down the diffusion process. Multiple Choice observability relative advantage trialability complexity compatibility

observability

Which of the following entails a process of balancing various engineering, manufacturing, marketing, and economic considerations to develop a product's form and features or a service's features? Multiple Choice concept testing product design product launch idea generation market testing

product design

The _____ stage of the new product development process can involve the development of a prototype for alpha or beta testing. Multiple Choice product launch concept testing market testing product development idea generation

product development

When a company takes apart a product, analyzes it, and creates an improved product that does not infringe on the competitor's patents, if any exist, it is Multiple Choice market testing. brainstorming. licensing. outsourcing. reverse engineering.

reverse engineering

To examine the potential success of its one-third-pound Angus hamburger, McDonald's started offering and promoting the product in three southern cities. This move is an example of Multiple Choice alpha testing. beta testing. prototype marketing. trade promotion. test marketing.

test marketing

_____ represent(s) a substantial portion of the population, and few new products and services can be profitable until this large group buys them. Multiple Choice Early adopters The early majority Laggards Innovators The late majority

the early majority

The last group of buyers to enter a new product market are _____, and when they do, the product has achieved its full market potential. Multiple Choice laggards early adopters innovators the late majority the early majority

the late majority

All of the following are reasons that compel firms to continue introducing new products and services except Multiple Choice to respond to fashion cycles. to diversify risk. to combat market saturation. to drive the competition out of business. to adapt to changing customer needs.

to drive the competition out of business

_____ relates to how easily consumers can test and use the product. Multiple Choice Availability Compatibility Trialability Relative advantage Observability

trialability